XRP price and market cap surge as Ripple files motion to dismiss SEC lawsuit


  • Ripple executives filed a motion to dismiss the Securities & Exchange Commission’s lawsuit against them.
  • This follows twin victories last week, including the judge denying the SEC’s request to access the execs’ personal financial information.
  • Attorney John Deaton believes more clarity would be required before exchanges will decide to relist XRP, despite the token's price surge. 

Ripple Labs recently filed a motion to dismiss the Securities & Exchange Commission (SEC) lawsuit against the company and its executives.

Motion to dismiss following twin victories last week

The SEC sued the blockchain firm late last year, along with its executives Brad Garlinghouse and Chris Larsen, alleging that XRP tokens were sold as an unregistered security offering.

Despite speculation and fear that led to the delisting of XRP from many crypto exchanges, Ripple has witnessed a string of legal victories, supporting the firm’s dismissal of the case. 

Ripple had twin victories last week, as the court denied the SEC’s request for the personal financial records related to Garlinghouse and Larsen. Judge Sarah Netburn also granted Ripple access to the SEC’s internal communication on Bitcoin and Ethereum.

While the SEC’s lawsuit accused Ripple of running a $1.3 billion unregistered securities offering, Judge Netburn previously stated that XRP is a currency and has utility to her understanding. 

With the recent wins against the SEC, CEO Brad Garlinghouse and Chairman Chris Larsen filed motions to dismiss the SEC’s lawsuit. Once these motions are granted, the lawsuit would be over. 

XRP price undeterred by ongoing legal battle

Despite the ongoing legal battle, retail traders have been undiscouraged. The recent legal victories have pushed XRP price even higher, marking a three-year high. 

XRP price surged by over 25% in the past 24 hours, gaining 65% just in the past week. Along with the bullish crypto market, led by Bitcoin and Ethereum in the recent rally, XRP price is trading at $1.81, the highest since 2018.

The cross-border remittance token has recently climbed back up into fourth place by market capitalization and exceeded $70 billion for the first time since early 2018. The total value of XRP has eclipsed the market cap of French banking giant BNP Paribas, with a market cap of roughly $64 billion. 

Relisting XRP unlikely until SEC issues a no-action declaration

Not only has XRP price been riding off of the recent legal battles, but also the rumors of the token being relisted on several exchanges again. A community member made a discovery that pointed to the possibility of Coinbase relisting XRP in several lines of code in the Coinbase Pro API. 

However, John Deaton – the attorney who led the motion to intervene in the SEC v. Ripple case – stated that he does not believe that Coinbase, Kraken and Binance are going to relist XRP until the SEC issues a no-action declaration or further clarity from the United States District Court for the Southern District of New York (SDNY). Deaton said:

I will be thrilled to be wrong if one of the exchanges that delisted or suspended XRP found the courage to begin trading it again. I hope they all do. But our fight is the SDNY Court. I just wish other cryptos realized that Ripple and XRP holders are fighting for all.

Further, Timothy Peterson, investment manager at Cane Island Alternative Advisors, believes that the crypto exchanges’ decision to suspend trading XRP was based on “weak and political allegation[s].” Considering that XRP has a trading volume of $20 billion per day, roughly 10% of the entire trading volume on the Nasdaq, he stated that it was wrong for exchanges to delist the token. He explained:

Developed market exchanges like NYSE and NASDAQ have objective and published listing requirements. That way there are no subjective, knee-jerk reactions to news or public sentiment.

Peterson further suggested that it was both a poor business and moral decision to delist XRP, paired with the fact that the token’s price has shot up by around 80% in a 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.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

XRP Price Prediction: Ripple fears of a major decline are unwarranted

XRP price remains locked in a range between the psychologically important $1.00 and the neckline of a multi-year inverse head-and-shoulders pattern at $0.76. However, a lack of technical ...

More Ripple news

BoE criticizes Bitcoin and touts potential CBDC would not be energy inefficient

The Bank of England is currently continuing its research on developing a central bank digital currency. The central bank’s director of fintech stated that it had not decided on whether a CBDC is needed.

More Cryptocurrencies News

Tezos price races higher on McLaren NFT expansion, but XTZ still faces hurdles

Tezos price has caught a bid today on the McLaren news, bouncing from the symmetrical triangle’s lower trend line, but the gain has not shifted the bearish bias of the charts. 

More Tezos news

SafeMoon price sheds weak hands, frees SAFEMOON to start new uptrend

SafeMoon price has quietly drifted into the 50 four-hour SMA following the explosive 50% gain into the June 15 high. The fundamental break with the suffocating descending channel has elevated the outlook for ...

More Shiba Inu News

BEST CRYPTO BROKERS/EXCHANGES



Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast

BTC

ETH

XRP