By Brenda Collins
Still on the ongoing court case between the cryptocurrency company Ripple and the Security and Exchange Commission (SEC). The latest report coming from the quarter says attorney Bill Morgan has started taking on questions from respondents that are interested in this case. The report also has it that most of these respondents are critiques, and pro-SEC.Â
Recall that sometime in December 2020, the Security and Exchange Commission indicted Ripple of engaging in the sales of unlisted securities as XRP without proper disclosure. Another reason for their suing the company was said to be becausw they chose to sell the securities at 1% lower of the price of XRP. The SEC sued Ripple on the ground that the XRP is an investment contract.
Meanwhile, Twitter respondents believe that the SEC is right for demanding that Ripple get their tokens registered with SEC. Many others believed so and cited an example with Stacks (STX). Recall that in 2021, a company Hiro, previously called Blockstack issued a statement saying that Stacks token (STX) is no more a security. This led to them discontinuing the annual report they are meant to send to SEC.
The Similarity in the Case of STX and Ripple
Expert analysis believes that Ripple may not be as lucky as STX considering the technology in use today. In the case of STX, it seems that the documentation process used by SEC is not applicable today. It was revealed that during that time, no system confirms the status of the STX from the SEC.
It is also believed that the idea to register any token or company considering the choice of who will emerge as the crypto industry leader; and here, they are faced with the choice of SEC or the CFTC. Some industry spectators believe that whatever the outcome of Ripple’s case with SEC, it will go a long way to answer many unanswered questions about crypto regulations.
Note, that this lawsuit has gradually become the most popular and the most followed cryptocurrency lawsuit in the history of the cryptocurrency and Fintech industry. It is also announced that the judgment is likely to come by the middle of 2023, and it is expected to make a loud statement on the nature of crypto regulation in the industry.
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