Today at 03:00 UTC, the SEC will meet to discuss Ripple's decision to withdraw its appeal. This moment could significantly influence XRP's status as a non-security in the U.S.
Current Status of Ripple and SEC
The Ripple case originated from a December 2020 lawsuit where the SEC claimed that Ripple's sales of XRP constituted an unregistered securities offering. In July 2023, Judge Analisa Torres ruled that while Ripple's institutional sales violated securities laws, 'XRP’s sale on public exchanges did not.' This ruling was a partial victory for Ripple. In early 2024, both Ripple and the SEC filed appeals: Ripple aimed to overturn the institutional ruling while the SEC sought to challenge XRP's non-security status on secondary markets.
Significance of Today's Hearing
Today's SEC meeting may determine whether the agency will formally drop its appeal. If the appeal is officially withdrawn, Judge Torres's 2023 ruling would stand as the final legal word on XRP's regulatory status in the U.S.
Possible Implications for XRP
A formal end to the SEC's appeal could have profound implications for XRP and the broader crypto space. Many of Ripple's partnerships, currently on hold due to regulatory uncertainty, could be activated. Investor sentiment has already turned optimistic, with XRP surging past $3, and many anticipate a regulatory breakthrough. A definitive ruling in Ripple's favor could further solidify its position in the U.S. crypto market.
Today's SEC meeting is crucial for the future of XRP and may influence the regulatory landscape for cryptocurrencies in America.
