XRP Price Rising – Will Ripple Win the Battle Against SEC?

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Ripple, a Fintech company, is making significant strides in its legal battle with the US Securities and Exchange Commission. The XRP problem (the seventh largest cryptocurrency in the world) will soon be solved, said CEO Brad Garlinghouse, who is optimistic about the closing date of the case.

XRP today continued a week-long rally in the market that began after a judge favored Ripple in an ongoing legal battle between Ripple and the SEC.

Judge Analisa Torres said late last week that she would authorize the release of certain documents related to the dispute, which has been going on for more than a year, and over how the XRP cryptocurrency was sold.

SEC vs Ripple

A lawsuit filed nearly two years ago could determine the fate of Ripple.

The SEC filed a lawsuit against Ripple and two of its executives on December 22, 2020. They allegedly traded $1.3 billion of their cryptocurrency XRP as security without informing the SEC.

They point to Ripple’s funding and claim that the company’s platform is not decentralized. Ripple has since argued that the SEC’s decision is biased.

In a civil lawsuit filed in late December, the SEC claimed that XRP is a security because it is needed to support Ripple’s infrastructure, allowing merchants to conduct financial transactions. The XRP sales also made the management of the platform well funded.

Total XRP Market Cap at $40.671 Billion in Daily Chart | Source: TradingView.com

Related literature | The SEC is filing an attack on Ripple’s defenses. Can it drown XRP?

SEC requirements require securities to be registered with the SEC and certain financial information to be made public. Its purpose is to prevent fraud and protect the interests of investors.

To decide whether a virtual currency is a security, the committee uses the “Howey test,” based on the 1946 Supreme Court ruling in SEC v. WJ Howey Co. The criteria are that if an asset is sold with the prospect of benefit from the labor of others, it qualifies as a security. The SEC’s current definition of XRP would pass the Howey test in their case.

As of now, each side is currently still gathering evidence to support their individual claims.

What can you expect from Ripple?

As news of the case spreads, XRP is gaining popularity. As investors process the news, the currency is up 18% and is trading at around 80 cents. Trading volume is also increasing, with more than $3.4 billion worth of XRP switching hands on Tuesday, up nearly 250% from the previous day.

Investors are pretty excited about Ripple’s price potential. However, how high can XRP go? What is the limit on the value of XRP?

To find out what the experts think, let’s take a look at some XRP price predictions:

Ripple – lawsuit or no lawsuit – is expected to cross the $1 threshold this year. According to CoinPriceForecast, XRP will be worth $1.07 by the end of the year. A similar prediction is made by Digitalcoin, which predicts a price of $1.09 for XRP by the end of 2022.

Related literature | XRP Builds Momentum With 7% Increase As Ripple Launches New ODL Partnership

Wallet Investor is slightly more optimistic about 12-month XRP. According to the website, the currency is expected to be worth $1.23 in February 2023.

Meanwhile, Gov Capital’s one-year projection is similar, with XRP expected to trade at $1.29 in February of next year.

Image from CoinPedia, chart from TradingView.com

This Post XRP Price Rising – Will Ripple Win the Battle Against SEC? was first published at https://www.newsbtc.com/news/ripple/xrp-price-surges-is-ripple-winning-the-fight-against-sec/

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