SEC Lawsuit Against Ripple Hinders XRP Adoption in the U.S., Claims Pro-XRP Lawyer
Summary:
The SEC lawsuit against Ripple has hindered XRP's adoption in the U.S., according to pro-XRP lawyer. He highlights how the lawsuit has impacted Ripple's trajectory and potential interest from Coinbase. Despite Coinbase's due diligence and SEC's lack of objection, Ripple faced legal action. Evidence suggests the lawsuit was used as a weapon. Ripple's success outside the U.S. contrasts with the setback caused by the lawsuit. New York District Court ruling partially favored Ripple, stating XRP sales are not securities.
The lawsuit filed by the United States Securities and Exchange Commission (SEC) against Ripple in December 2020 has significantly hindered the adoption of the XRP token in the U.S., according to pro-XRP lawyer John Deaton. In a recent post, Deaton stated that if it weren't for the lawsuit, Ripple and XRP would have experienced great adoption in cross-border payments, similar to the interest shown by Coinbase. He highlighted the impact of the SEC's legal action, emphasizing that it has caused a three-year setback in terms of adoption for XRP. Deaton further pointed out that Coinbase was a strong supporter of XRP before the lawsuit, and even conducted due diligence to ensure its regulatory compliance. Similarly, MoneyGram, a Ripple partner, faced no objections from the SEC while utilizing XRP. Despite these measures taken by Ripple partners, the SEC still decided to pursue the lawsuit. Deaton concluded by asserting that the evidence discovered over the past three years indicates that the lawsuit was used as a weapon against Ripple. He acknowledged that while Ripple has achieved success outside the U.S., the lawsuit has had a detrimental effect on XRP's adoption. On July 13, a New York District Court ruling partially favored Ripple Labs, stating that XRP sales on digital asset exchanges do not fall under the definition of a security.
Published At
8/22/2023 10:39:29 AM
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