What XRP’s Big SEC Win Means for the Future of Crypto Tokens
Ripple Labs, the company behind the XRP token, achieved a significant legal victory against the U.S. Securities and Exchange Commission (SEC), setting a precedent with far-reaching implications for the crypto industry.
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On July 13, Ripple won a partial victory as the court ruled that the company did not violate federal securities law by selling XRP on public exchanges. This ruling challenges the SEC's crackdown on cryptocurrencies and restricts their ability to pursue similar cases based solely on the Howey Test.
Brad Garlinghouse, Ripple's CEO, expressed his satisfaction with the court's decision, emphasizing that XRP is not an investment contract. Stuart Alderoty, a key figure at Ripple, celebrated the ruling on Twitter, highlighting that XRP is not considered a security.
The implications of this victory extend beyond Ripple to other crypto projects. Tokens like ADA, MATIC, and SOL, which faced potential delisting on major exchanges, now have improved prospects. However, it is important to note that the crypto industry still faces regulatory challenges, and further discussions on crypto regulation are needed.
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