Rippleโs price has significantly jumped, increasing by 7.6% to reach $0.517.
This uptick in Rippleโs value comes from the U.S. Securities and Exchange Commission (SEC) deciding to abandon its claims against the blockchain company Ripple Labs earlier.
The decision by the regulatory body has been perceived positively by the market, reflecting in the subsequent rise of Bitcoin (BTC) and altcoin prices.
At press time, BTC was up 5% to $30,000, while Ethereum (ETH) grew 4.2% to $1,617.
Ripple vs. SEC
The SEC and Ripple have come to an agreement, resulting in a โdismissal with prejudice,โ thus eliminating the need for the previously set trial. While this doesnโt mean the SECโs civil case against Ripple from 2020 is entirely dropped, the specifics of this dismissal and its eventual outcome are still under wraps. Both parties now have a deadline of Nov. 9, 2023, to settle on a briefing schedule concerning Rippleโs alleged violations, or theyโll require a plan from the court.
Rippleโs response was prompt and robust, with the companyโs chief legal officer, Stuart Aldeorty, describing the SECโs move as a โstunning capitulation.โ CEO Brad Garlinghouse asserted that the SECโs accusations were a direct โattempt to tarnish their reputationโ and belittle the companyโs efforts over the past decade.
This situation with Ripple isnโt isolated, as the SEC has been actively involved with the crypto domain. The lawsuit against Ripple started in December 2020 when the SEC claimed Rippleโs XRP tokens were securitiesโa claim later rejected in July. With the recent developments, thereโs speculation within the crypto community on the SECโs motives and its future steps, especially given its ongoing cases against other crypto leaders and major exchanges.
