John Deaton, a lawyer and an outspoken supporter of XRP, is convinced The outcome of the ongoing case between Ripple, the blockchain company, and the US Securities and Exchange Commission (SEC) will affect the cryptocurrency markets depending on the judge’s ruling. In his assessment, any ruling in favor of Ripple would not only send XRP higher, but other cryptocurrencies, including Bitcoin, Litecoin, and the rest, would follow suit.
XRP is the parent currency of the XRP Ledger (XRPL) which the regulator claims is an unregistered security. Ripple used it to raise billions in its Initial Coin Offering (ICO).
The Ripple-SEC ruling will affect cryptography
While responding to a comment on Twitter on July 1, Deaton emphasized the importance of the issue and the ramifications it would have on the broader cryptocurrency markets.
The attorney is of the opinion that if the Chief Justice rules in support of the SEC, the current momentum against cryptocurrencies, backed by politicians, will only continue, which could hinder the growth of the industry in the US. And he notes how any unfavorable judgment would be bad for other currencies, including bitcoin, which the SEC has made clear is a commodity.
Judge Torres’ decision is likely to become more stale with each passing day. If it’s bad for XRP (note I said XRP, not Ripple), the status quo with more political momentum for Gensler, Warren, and Brad Sherman’s anti-crypto campaign. But if it’s great for XRP, it’s great news for other tokens.
XRP Stability Concern US Crypto Backers
The Securities and Exchange Commission (SEC) has been cracking down on cryptocurrency in recent months, suing Binance and Coinbase, two of the largest cryptocurrency exchanges in the world. In their lawsuits, they alleged that the two cryptocurrencies facilitated the trading of unregistered securities, and listed some coins, including Cardano, Solana, and Algorand, as examples. Binance and Coinbase are responding to the regulator, and the community is anticipating a drawn-out lawsuit that could, in the end, bring regulatory clarity.
Some cryptocurrency proponents in the US afraid That if the community does not resist the actions of the regulator, it will be left to trade a limited number of tokens, including Bitcoin, Ethereum, Litecoin and Bitcoin Cash. What these coins have in common is that they are among the oldest projects. Besides Ethereum, which recently transitioned to a Proof of Stake consensus system, the rest are PoW networks.
At present, the price of XRP is stable and is in the top 10. While there were initial gains after the SEC ordered disclosure of documents about William Hinman’s speech in 2018, the price is below $0.60, under Almost 3% in the last trading week.
Featured image from Canva, chart from TradingView
