Ripple’s Security Status Yet to Be Defined By Judge. For a long time, the cryptocurrency community put pressure on the United States Security Exchange Commission to declare Ripple a security or say it’s not.
Even if Ripple XRP is listed as a cryptocurrency, some believe that the token is more of a security than a cryptocurrency. Even if the SEC has refused to say anything about XRP’s status, many people believe that the token is a security and XRP should pay heavily for selling unregistered securities. One of the lawsuits states that Ripple was under obligation to register the XRP token as a security before its launch.
Apart from accusing XRP of selling unregistered securities, they also claim that the CEO of Ripple, Brad Garlinghouse, tricked them into purchasing the tokens with false advertising and deception. Ripple has also denied this allegation.
The thing with these lawsuits is that none of them have attracted a ruling against Ripple and until this happens, these allegations will be nothing but allegations. If at least one judge finds Ripple guilty of any of these allegations, it will serve as a precedent for other judges to rule and XRP will officially be seen as a security.
XRP Might be in the Red but a Double Top Has Appeared on the Technical Charts
At the time of writing, the price of Ripple XRP was $0.282891. This means that it is down by 0.78% against the USD and up by 0.64% against Bitcoin BTC. The trading volume over a 24 hour period was $1,182,004,679 and the market capitalization was $12,713,844,540. While the token is still in the red, a double top has appeared on the technical charts.
This means that a close below the $0.2700 level will lead to lower lows against the USD near-term. XRP is already down by more than 8% within the last 7 days so it can’t afford lower lows.
Ufuoma Ogono is a cryptocurrency writer with over 3 years experience in the cryptocurrency industry. She dedicates her time to sharing valuable information to members of the cryptocurrency community.
- Ripple is Facing Another Controversial Fraud Allegation as Consolidated Lawsuits Appear
- XRP Might be in the Red but a Double Top Has Appeared on the Technical Charts
There is hardly any week that goes by without Ripple being in the middle of one controversy or another. This time, the blockchain company is being accused of fraud. There is currently a fraud allegation lawsuit against Ripple in a Californian court in the United States.
Ripple has requested a motion to dismiss the lawsuit but nothing has been done about it yet. The motion to dismiss was filed last Friday by Ripple Labs. Ripple claims that this allegation and other allegations against it are unfounded and don’t have any foundation.