Investors Say Ripple Should Have Been Declared Security. XRP security status has been a controversial topic for many years.
The investors who sued Ripple claim that the token is a security and they ought to have asked the SEC to make a public declaration of the token and list it as a security.
They said; “Ripple should have made a formal application to the U.S. Securities Exchange Commission (SEC) for their cryptocurrency XRP to become a security.” Ripple, on the other hand, remained adamant claiming that they are free of any legal wrongdoing in the case. The final verdict from the court was as follows;
“The court found that the lead plaintiff failed to provide the necessary evidence in the courtroom to support multiple claims regarding XRP’s non-security status, Brad Garlinghouse’s holdings and monetary intentions, XRP’s sale strategy, as well as the company’s software products. All of these accusations were ‘purported misstatements.”
During the legal proceedings, the court insisted that the investors did not provide any empirical data to show that Ripple misled people into buying unregistered securities. There was nothing to prove that Ripple or Brad Garlinhhouse made any false statements in the wake of the development and sale of XRP.
- United States Court Dismisses Case Against Ripple filed by Angry XRP Holders
- XRP Surges Higher Reaching for Monthly Highs as it Approaches the $0.30 Level for the First Time in Months
It is no secret that Ripple is facing a pile of lawsuits from angry investors. Some of these lawsuits were combined into class-action lawsuits earlier in the year. Recently a court in the United States specifically North California, dismissed the claims against Ripple Labs that came from two angry investors on the grounds of insufficient proof.
The lawsuit was filed in 2018 and the investors asked the court to legally declare XRP a security or at least declare that the token is not a security by definition. Two years after the extended legal battle, the case against Ripple has been firmly dismissed by the court.
XRP Surges Higher Reaching for Monthly Highs as it Approaches the $0.30 Level for the First Time in Months
In other news, the XRP token has been on virtual fire for the last few days reaching levels that it has not reached in months. For the first time in months, the token crossed the resistance at $0.25 paving a way for even higher highs near-term. at the time of writing, the price of XRP was moving toward $0.30 as it had tested the $0.2999 level. if XRP can move above the $0.3000 level before the end of the day, there is a strong chance that it will remain bullish near-term.
Max writes about blockchain projects and regulation with a special focus on United States and China. He joined Smarterum after years of writing for various media outlets.