• BlackRock has decided to steer clear of an XRP ETF according to a Fox Business reporter. 
  • The SEC’s lawsuit against Ripple rages on, despite Judge Torres’ ruling, XRP remains in a regulatory “gray” area. 
  • XRP price bleeds nearly 4% on the day, declines to $0.5291. 

The Securities and Exchange Commission’s (SEC) lawsuit against Ripple continues in 2024. As the payment remittance firm is embroiled in the legal battle, a Fox Business reporter has commented on whether the asset management giant will support the XRP ETF. 

Following the SEC’s approval of a Bitcoin Spot ETF, XRP holders are awaiting the launch of an XRP ETF. 

Also read: Bitcoin price is above $41,000 as BTC whales make strategic moves

Asset management giant not likely to support XRP ETF

BlackRock, one of the largest asset managers, is unlikely to support an XRP ETF according to Fox Business Reporter Charles Gasparino. The report is relevant since the SEC v. Ripple lawsuit rages on in 2024. 

According to the latest development in the lawsuit, the payment remittance firm has filed its response to the regulator’s motion to compel, as on January 20. The case continues to garner interest in the XRP holder community. 

Despite Judge Torres’ ruling on XRP sale on exchange platforms, stating that the asset is not an “investment contract,” the altcoin is a regulatory gray area. It is likely that BlackRock steered clear of XRP ETFs since there is not adequate clarity on XRP’s status as a security or non-security.

The lawsuit’s final outcome is expected to shed light on XRP’s status. 

SEC v. Ripple lawsuit: What’s next

Ripple’s attorneys have opposed the SEC’s motion to compel. This is a motion that requires the defendant to share information and facts about the case. The SEC requested the court to order Ripple to share 2022-2023 financial statements and post-complaint contracts governing XRP institutional sales on January 11. Post-complaint refers to the period of time after the SEC first filed its charges. 

The regulator expects Ripple to respond to questions relating to post-complaint XRP institutional sales proceeds. Ripple is arguing, however, that the regulator had adequate time to request post-complaint documents in the fact discovery phase of the lawsuit. This ended on August 31, 2021. Thereafter, the SEC did not question the post-complaint conduct of the payment firm and it remained irrelevant to the lawsuit. 

Ripple argues that the SEC should not be permitted to reverse course and the post-complaint conduct is irrelevant to the case. The SEC is likely looking for evidence to note whether Ripple continued non-compliance with securities laws after the charges were filed against the payment remittance firm. 

If the SEC finds this to be true, the Judge presiding the case could inflict a penalty on Ripple. 

At the time of writing, XRP price is $0.5291, with the altcoin continuing its decline this week. 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

XRP Price Outlook: A breakout or significant price movement may be imminent for Ripple’s token

XRP Price Outlook: A breakout or significant price movement may be imminent for Ripple’s token

Ripple price has been range-bound for a while, with token holders patiently holding as the ecosystem contended against the US SEC. As per a recent report, the payments token’s price has been stuck below $0.50, failing to breach key resistance levels.

More Ripple News

Runes token standard diminishes BRC-20 hype, thwarts Ordinals engagement a day after launch

Runes token standard diminishes BRC-20 hype, thwarts Ordinals engagement a day after launch

Bitcoin token standards have been a notable theme of late, with Ordinals and BRC-20 making headlines in the first quarter of 2024. However, there is a new player in the works, Runes, which could be the next narrative as the ecosystem continues to evolve.

More Runes News

Avalanche Price Prediction: AVAX primed for gains as altcoin nails its 37% measured move target

Avalanche Price Prediction: AVAX primed for gains as altcoin nails its 37% measured move target

Avalanche (AVAX) price, like most altcoins, is showing strength following the fourth Bitcoin (BTC) halving. The landmark event, which has inspired positive market sentiment, has capital spilling over into other cryptocurrencies, including AVAX.

More Avalanche News

Meme coin madness returns after Bitcoin halving concludes

Meme coin madness returns after Bitcoin halving concludes

Meme coins are on a tear, with some posting double-digit gains despite characteristic weekend lull. BONK, FLOKI, PEPE, SHIB are sector’s top gainers while DOGE tries to catch up after Dogecoin Day. Solana’s Bonk Inu and Myro are top chain performers after SOL price’s 6% gains.

More Meme Coins News

Bitcoin: BTC post-halving rally could be partially priced in Premium

Bitcoin: BTC post-halving rally could be partially priced in

Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days? 

Read full analysis

BTC

ETH

XRP