The past week has been difficult for XRP [XRP] as yet again they have been spurn down from Coinbase. XRP is the third largest cryptocurrency by market capital after Bitcoin [BTC] and Ethereum [ETH].
Ripple Labs Inc. describes XRP to be an independent digital asset standing apart from them. Through this, Ripple aims to provide clarity on the status of XRP as a security. In brief, a security is defined as an ownership share that needs to be registered. In addition, Ripple’s Chief Market Strategist, Cory Johnson commented:
“We absolutely are not a security. We don’t meet the standards for what a security is based on the history of court law.”
The previous lawsuits against Ripple have already claimed that XRP is a security. Christophe de Courson, the CEO of Olymp Capital, a blockchain and digital asset investment firm, believes that if the verdict goes against Ripple’s favour, then it’s not just the coin that will suffer but also the affiliated corporate entities.
However, he also said that if the SEC states that XRP is indeed a security, then the token would suffer a big blow since it is listed in all the major market exchanges except for Coinbase. Courson stated:
“…XRP is not needed when using xCurrent, the product that gives banks’ ability to move efficiently money across the border. xCurrent being the most used ripple’s product, I think that even if a classification of XRP as a security will be painful for Ripple, they could cope with it.”
In addition, Ripple labs and its CEO will also be held liable for illegally trading millions of dollars’ worth of securities. XRP investors are responding to this news both positively and negatively.
One of the investors tweeted saying:
“I love XRP and ripple, but I think we got some time to go yet. This is more a 5-10 year investment to me now. Long-term goal, they have the idea right. But ATM the sec and lawsuits plus all the poppers pushing the price down. One day XRP will have the volume but hold for time”
While another investor tweeted saying:
“Coinbase will never add XRP no matter how hard you try and shill it. These 3 lawsuits is just the beginning, trust me there will be more. Ripple labs didn’t disclose important information on how XRP is separate from ripple labs.”
The post XRP [XRP] to face a ‘massive blow’ on SEC verdict, but ‘Ripple can cope’, says investment fund CEO appeared first on AMBCrypto.