XRP Price Jumps 38% Weekly as Ripple CEO Declines to Comment on Potential SEC Settlement Talks

According to Brave New Coin’s XRP Liquid Index, the price of XRP is up over 38% for the week to 61 cents, while the market leader Bitcoin has risen around 12%

The price of XRP continues to rise as the legal battle with the SEC nears its conclusion. According to Brave New Coin’s XRP Liquid Index, the price of XRP is up over 38% for the week to 61 cents, while the market leader Bitcoin has risen around 12% in the same period.

The SEC filed a lawsuit against Ripple Labs in 2020, alleging the company violated regulations by raising funds through the sale of XRP without registering it as a security. This case is closely watched for its broader implications on the SEC’s regulatory scope. In a setback for the SEC, a US District Judge ruled last July that XRP sales to retail investors on exchanges were not investment contracts.

Ripple Labs CEO Brad Garlinghouse, during a Bloomberg Television interview, declined to comment on potential settlement talks with the SEC but expressed confidence in a resolution soon.

“Suffice to say, that the ruling has been clear from the judge,” Garlinghouse noted. “We expect resolution very soon, but can’t predict when the judge will rule there.”

Adding to the speculation among crypto enthusiasts is a “closed meeting” listed on the SEC’s website for July 18. An SEC spokesperson declined to comment on the matter.

“Investors and traders are eagerly awaiting a decision regarding the status of XRP tokens,” said Zaheer Ebtikar, founder of crypto fund Split Capital. “The entire fate of XRP hinges on upcoming regulatory developments.”

The legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) began on December 22, 2020, when the SEC filed a lawsuit against Ripple Labs, its CEO Brad Garlinghouse, and co-founder Chris Larsen. The SEC accused the pair of raising over $1.3 billion through an unregistered securities offering by selling the XRP cryptocurrency.

This case has significant implications for the cryptocurrency industry and regulatory practices and in the years that followed has continued to create investor uncertainty about the legality of crypto investment.

A US District Judge ruled last July that XRP sales to retail investors on exchanges were not investment contracts, in a setback for the SEC.

The SEC had argued that XRP was an unregistered security and that Ripple Labs and its executives misled investors about the nature of the token. However, the Judge found that the SEC had failed to show that XRP was an investment contract, and that investors had not reasonably expected to profit from the efforts of Ripple Labs.

This ruling was seen as a victory for Ripple Labs and the cryptocurrency industry, and it raised hopes that the case could be settled before going to trial.

However, both parties have since filed motions to dismiss the other's claims, and the case is still ongoing.

The next hearing in the case is scheduled for July 24, and it is expected that the Judge will rule on the motions to dismiss at that time.

If the Judge grants one or both of the motions to dismiss, it could significantly narrow the scope of the case and bring it closer to a resolution.

However, if the Judge denies both motions, the case will likely proceed to trial, which could take several months or even years to complete.

Either way, the legal battle over XRP is far from over, and it will continue to have a major impact on the cryptocurrency industry and investors.

Follow the latest XRP legal updates here.

XRP is currently the sixth-largest cryptocurrency, with a market value of approximately $34 billion, according to Brave New Coin’s market cap data. In comparison, Bitcoin holds a market value of about $1.3 trillion, making up roughly 50% of the crypto market

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