XRP’s exclusion from the list of tokens deemed as securities in the SEC’s contentious filing against Binance has evoked a lot of discussions in the crypto community.
One leading analyst took to Twitter to highlight why the Ripple-affiliated token’s fight against the regulator has assumed greater significance in light of the most recent developments.
For context, the XRP and blockchain firm Ripple is engaged in a separate legal conflict with the US regulator.
Currently, the case is getting close to a June 13 deadline where the plaintiff [SEC] is asked to provide unedited copies of every email Hinman sent or received. This request is widely seen as pivotal to the agency’s lawsuit against the crypto industry.
According to Daan Crypto, the XRP litigation has become crucial like never before and if Ripple wins, one can expect significant price increases in practically every altcoin that the SEC has designated as a security.
“Even if you dislike the project itself, support XRP. Everyone in this place is fighting a battle,” he stated.
Several altcoins including Binance Coin [BNB], Cardano [ADA], and Solana [SOL] were classified as securities by the agency in the filing.
While XRP has pumped up, many of these tokens have witnessed massive declines.
Further, he predicted that the tokens that have been around since at least 2017 and have not been classified as securities are something to watch out for.
Following the SEC’s recent lawsuit against Binance, XRP’s absence from the list of unregistered securities raised eyebrows.
Many legal experts cited a number of reasons. A journalist for Fox Business Eleanor Terrett speculated on Twitter that the regulator might be attempting to avoid making possibly inconsistent judgments or running into problems with discovery in connection with existing litigation regarding XRP.
Others noted that if Ripple prevails, SEC’s position could be weakened in the eyes of the public, Congress, and the press.
That being said, there has been a steady rise of interest in XRP from investors, with predictions and rumors of a likely resolution in the coming weeks doing the rounds.
Renewed Investors’ Interest In XRP
According to Kaiko, since the final week of May, the Open Interest [OI] in XRP futures has dramatically surged, reaching yearly highs of over $500 million along with a 13% price rise at the same time.
Increased OI and rising prices are interpreted as new capital entering the market through purchases, supporting the positive outlook.