The XRP token, affiliated with Ripple, has experienced significant gains recently, surging above $0.53 within a span of ten days. This surge stands out amidst a general decline in most other altcoins. XRP, ranking fifth by market capitalization, has secured substantial gains, with a nearly 7% increase in both daily and weekly indexes. A key factor contributing to this rise is the swift accumulation by the ‘smart money’ tiers, holding substantial amounts of the tokens ranging from 10,000 to 10 million tokens. Impressively, these entities possess almost 30% of the total XRP supply.
Santiment’s graphical data further emphasized XRP’s dominance in the social sphere, marking the second-highest day in over a month. This spike in social activity can be directly attributed to the ongoing legal battle between XRP and the U.S. Securities and Exchange Commission [SEC]. The SEC made a significant announcement on October 19, declaring its decision to drop the lawsuit against two crypto executives, CEO Brad Garlinghouse and Executive Chairman Chris Larsen. These executives were accused of unlawfully selling $1.5 billion worth of XRP as unregistered securities.
XRP/Ripple Lawsuit- Gamechanger
This dismissal of civil claims against Garlinghouse and Larsen is poised to bolster the cryptocurrency industry’s fight against conventional regulatory practices. It is anticipated that this move will embolden wealthy defendants in the crypto sector to challenge regulatory authorities in court. Simultaneously, the SEC’s withdrawal from this case enables the regulatory body to conserve its resources for larger lawsuits filed against major players in the cryptocurrency realm.
Regarding the future steps in this legal battle, a spokesperson for the US securities watchdog refrained from commenting. However, the SEC’s official stance, as outlined in their documents, indicates that the next phase involves both parties presenting their arguments to the judge to determine the appropriate penalty for Ripple, marking a crucial turning point in this high-profile legal dispute.