XRP Price Soars Following Latest Ripple vs. SEC Lawsuit Update

Ripple’s XRP price has surged dramatically over the past 12 hours due to the latest updates in its ongoing legal battle with the SEC.

XRP Price Jumps 20% on Ripple vs. SEC Lawsuit Update

In December 2020, Ripple was sued by the U.S. Securities and Exchange Commission (SEC) for allegedly issuing unregistered securities in the form of XRP, leading to a $1.3 billion lawsuit targeting the company and its executives, including CEO Brad Garlinghouse and Chairman Chris Larsen.

Since then, Ripple has been embroiled in a legal struggle with the SEC, continually presenting evidence to counter the regulator's claims. The company’s arguments focus on two main points: 1) The sale of XRP should not be considered an investment contract since no formal agreements were made at the time of asset transfer; and 2) XRP does not meet the criteria for a security under the Howey Test.

As of March 21, Ripple’s lawyer, James Filan, revealed that new evidence was submitted to the court which could undermine the SEC's legal position. Specifically, Ripple provided a recent ruling from a New York bankruptcy judge handling Voyager’s bankruptcy case and Binance.US’s proposed acquisition of the platform.

The New York judge had dismissed objections from the SEC and New York authorities seeking to block the Voyager-Binance.US deal, arguing that VGX tokens were securities. The judge noted that despite the SEC’s repeated objections, the commission’s representatives refused to provide detailed reasons due to ongoing investigations.

Consequently, the judge rejected the SEC’s objections due to insufficient evidence and “vague” criteria for determining the security status of a crypto asset, allowing Binance.US to proceed with the Voyager acquisition.

Following these recent developments, XRP investors and observers are hopeful that Ripple might leverage the new legal precedent established in the Voyager case to strengthen its position in the ongoing battle with the SEC.

Additionally, rumors suggest that the Southern District of New York, where the SEC-Ripple lawsuit is being heard, could deliver a verdict in the coming days or by April.

Thanks to this news, XRP’s price has surged over 20% in just 12 hours. At one point, XRP soared by 32%, reaching a peak of $0.4929, marking its highest value since early November 2022.

XRP/USDT 1D Chart on Binance at 10:50 AM on March 22, 2023

Recently, the SEC and New York authorities have been targeting various crypto companies and projects with their "security" arguments, including:

• Former CEO Sam Bankman-Fried and FTX’s FTT token.
• Do Kwon and Terraform Labs along with the collapse of LUNA-UST.
• Paxos and Binance’s BUSD stablecoin.
• KuCoin and allegations of Ethereum being a security.
• Hacker Mango Markets Avraham Eisenberg and MNGO token.
• Kraken’s staking services.
• Genesis lending unit and Gemini exchange.
• Voyager investment platform and Binance.US.
• DEX SushiSwap.
• Signature Bank, a bank with numerous crypto clients.

Furthermore, SEC Chairman Gary Gensler has recently claimed that nearly all cryptocurrencies are securities except Bitcoin, urging crypto companies to register and report their activities to the agency.