Judge Analisa Torres of the US District Court rules XRP is not a security, sparking community debate on implications for the Binance lawsuit.
In court, the judge denied the SEC’s request for summary judgment regarding programmatic sales of XRP and sales by confident leaders of the company.
This ruling implies that XRP is not considered a security when sold to the general public. The verdict has created a mixed response, with the majority of the crypto community interpreting it positively, likely because they are primarily retail investors focused on the non-security aspect of the ruling.
John E. Deaton, the founder of Crypto-Law.us and managing partner of the Deaton Law firm, commented on the ruling on Twitter. He stated it was unquestionable that Coinbase should relist XRP, not only due to Judge Torres’ ruling but also because it aligns with Coinbase’s legal interests and public perception.
Deaton asserts that XRP currently possesses more legal and regulatory clarity than any token, except for Bitcoin.
As a highly involved crypto community member, Deaton also retweeted other developments. He suggested this ruling will start an exchange snowball starting with iTrust Capital, a crypto IRA platform.
Gemini Exchange reiterated this response with their exploration or relisting XRP for spot and derivatives trading, alongside the leading Canadian exchange Bitbuy who discreetly relisted XRP trading on July 13.
Uphold, another major global asset exchange, shares their support, highlighting they weren’t among the other delistings.
The SEC designated approximately 50 altcoins as securities through legal actions and public statements. Nevertheless, the Ripple case and the classification of XRP as security remain particularly significant, given their potential influence on other ongoing cases.
How XRP decision will affect the market
Of course, the ruling of XRP implications holds greater weight given the SEC’s lawsuit against Coinbase.
Tyler Winklevoss, one of the co-founders of the Gemini exchange, quickly raised these implications highlighting that today’s XRP ruling implies the SEC has no jurisdiction over digital assets.
Although it may be too early to say what the results of this announcement on the Coinbase lawsuit will be, the crypto community continues to celebrate the big step for cryptocurrency as a move in the right direction for mainstream adoption.
