Ripple and SEC Case Update: Non-Security Status of XRP Remains Despite Appeal

Stuart Alderoty, Ripple’s Chief Legal Officer, recently reaffirmed that XRP is not a security, even amidst ongoing debates and court appeals. Back in July 2023, Judge Analisa Torres ruled that XRP is not a security in secondary market trades. While the U.S. Securities and Exchange Commission (SEC) is appealing aspects of this decision, they haven’t challenged the core ruling about XRP’s status as an asset.

Clearing Up XRP’s Security Status

To clarify, Alderoty used a light-hearted analogy comparing XRP to a Taylor Swift concert ticket, which, like XRP, doesn’t automatically fall under securities law just because it’s traded. Ripple is currently preparing responses to the SEC’s latest appeal, which targets allegations involving Ripple executives Brad Garlinghouse and Chris Larsen in the sale of XRP. This legal battle, which started in 2020, may stretch into 2025, continuing to cast uncertainty over XRP’s market value. Currently, XRP is trading at $0.5469, a slight dip of 0.6%, as the legal proceedings impact its future trajectory.

XRP’s Price Momentum

Despite the SEC’s decision not to contest XRP’s non-security status, which has fueled market optimism, XRP’s price remains volatile. Analyst EGRAG CRYPTO suggests that XRP could potentially reach $1.50 soon, despite its current price of $0.55. Even with an 11% drop in trading volume over the last day, XRP’s futures market is seeing increased buying activity, with open interest rising by over 2% to $770 million.

Sentiment: Neutral