Why SEC May Actually Lose Ripple Lawsuit – Crypto News – Crypto News
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Why SEC May Actually Lose Ripple Lawsuit – Crypto News

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XRP Lawsuit News: Win/Lose or Settlement, the actual outcome of the US SEC Vs Ripple Lawsuit is expected to drive the digital asset market towards clear regulations. However, prior to the XRP lawsuit Summary Judgment, the fresh hearing in LBRY Vs SEC is expected to set a stage for Ripple and Defendants.

Will LBRY lead Ripple towards victory against SEC?

LBRY Vs SEC lawsuit will be having a hearing in the US district court. John Deaton Amicus curiae in the XRP lawsuit expects that the fresh hearing LBRY case anticipates that this event is going to be one of the most crucial events for the crypto industry.

However, the US SEC received the Summary Judgment in its favor against LBRY on November 21, 2022. Since then the LBRY lawsuit has been compared with the XRP lawsuit in pursuit of regulatory clearance.

Jeremy Kauffman, CEO of LBRY pleaded with the Court and mentioned that they have been going back and forth with the commission for long five years. During this period, the crypto firm tried to work it out with the SEC to avoid any penalties.

In his statement, he highlighted that there is a sea of ​​smart people who want to build the crypto industry. However, the rules are not specified by the SEC, and by the end of this lawsuit, the market would at least get a clarity over the rules.

How XRP escapes the security category?

XRP lawyer dropped Bill Hinman’s statement from June 6, 2018 which states that the digital asset itself is simply code. While the way it is sold in the market is as part of an investment, to non-users, or even by promoters to develop the enterprise. It can most often be categorized as a security.

As per the statement, the mentioned asset is more a security if it is “sold as part of an investment to non users” and that too by promoters. XRP lawyer states that clearly, LBC users will win the LBRY blockchain who didn’t purchase the tokens from the LBRY blockchain. As this does not fit with Hinman’s criteria.

Similarly, a huge amount of XRP holders bought XRP in order to get in with the XRPLedger. While many got their salaries in XRP through BitPay and other vendors and some use XRP as a substitute for fiat.

Ashish believes in Decentralization and has a keen interest in evolving Blockchain technology, Cryptocurrency ecosystem, and NFTs. He aims to create awareness around the growing Crypto industry through his writings and analysis. When he is not writing, he is playing video games, watching some thriller movie, or is out for some outdoor sports. Reach me at [email protected]

The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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