In a Twitter post celebrating the watershed judgment that declared that ripple (XRP) is not a security, the co-founder of Cardano, Charles Hoskinson, congratulated the Ripple Nation, and added that their victory at the court is “One small step for the XRP Nation” and “one giant lead for cryptocurrencies.”
A Reuteurs report of the judgment said,
“Ripple Labs Inc. did not violate federal securities law by selling its XRP token on public exchanges, a U.S. judge ruled on Thursday, a landmark legal victory for the cryptocurrency industry that sent the value of XRP soaring. XRP was up 75% by late afternoon on Thursday, according to Refinitiv Eikon data. The ruling by U.S. District Judge Analisa Torres was the first win for a cryptocurrency company in a case brought by the U.S. Securities and Exchange Commission, though it did also give the SEC a partial victory.”
It added that as consolation, the SEC may take that Judge Torres also ruled that Ripple violated Securities law by selling its token to sophisticated investors.
More to come …
In his reaction to the judgment, the CEO of Ripple Labs, Brad Garlinghouse, said,
“The most important part of this ruling: is that XRP, as a digital token, is not in and of itself a “contract, transaction, or scheme” that embodies the Howey requirements of an investment contract.” This is now a matter of law (not up for trial).”
We said in Dec 2020 that we were on the right side of the law, and will be on the right side of history. Thankful to everyone who helped us get to today’s decision – one that is for all crypto innovation in the US. More to come.
XRP for spot and derivative markets on Gemini
While Cameron Winklevoss, the co-founder of Gemini, said,
“The sale of XRP on exchanges is NOT a security. Which means the sales of all cryptos on exchanges are NOT securities, and @SECGov and @GaryGensler have NO jurisdiction over them. This is a watershed moment that relegates the SEC to TradFi and makes it a dinosaur regulator. Buh-bye”
While his company, Gemini, announced that it is exploring the possibility of listing ripple on both its spot and derivative exchanges.
Coinbase Assets on XRP
For Coinbase Assets,
“Coinbase will re-enable trading for XRP (XRP) on the XRP network. Do not send this asset over other networks, or your funds may be lost. Transfers for this asset remain available on @Coinbase and @CoinbaseExch in the regions where trading is supported.”
The summary of it all is that the crypto community, especially in the United States, sees the landmark judgment as a lifeline for an industry that has recently been buffeted by a string of enforcement actions.