Ripple has decided to end its appeal against the SEC, impacting the XRP market and its regulatory status.
Ripple's End of Appeal
CEO of Ripple Brad Garlinghouse announced the company's decision to drop its appeal in the legal case with the SEC. This marks the closing of an important chapter in Ripple's legal battles initiated in December 2020 over allegations of unregistered securities sales. As Garlinghouse stated, "We’re closing this chapter once and for all and focusing on what’s most important – building the Internet of Value."
Market Reaction to the News
Following the announcement, XRP's price increased by 1.5%. The resolution of uncertainty surrounding the legal battle has improved trading and liquidity for the asset. XRP maintained an average trading volume of approximately $2.4 billion over 24 hours, reflecting market readiness to move forward.
Future of Cryptocurrency Regulation
Experts note that Ripple's legal closure could provide clarity regarding the status of other cryptocurrencies. Ripple's Chief Legal Officer Stuart Alderoty reiterated that XRP's status as a non-security remains intact, which may influence future SEC actions regarding cryptocurrencies. It’s anticipated that the SEC might also consider dropping its appeal to maintain procedural consistency.
Ripple's decision to end its appeal against the SEC aims to restore investor confidence and refocus on business growth. This creates a more favorable environment for future activities in the cryptocurrency market.
