XRP and Ripple Face a Crucial Moment: April’s Changing Current
XRP experienced a 1.99% decline on Friday, dropping to $0.5762 after a 0.88% gain the previous day. While the SEC v Ripple lawsuit did not directly impact the demand for XRP, investor attention shifted towards the Coinbase case. In the Coinbase lawsuit, the SEC requested Judge Failla to review the recent SEC v Terraform Labs verdict, claiming that it supports their opposition to Coinbase’s Motion for Judgment. However, legal experts like Mike Selig argued that the Terraform Labs verdict did not classify cryptocurrency securities in secondary transactions.
The outcome of the SEC’s case against Coinbase and the upcoming court date on January 17 could potentially influence the SEC’s approach in the Ripple case. Meanwhile, April 2024 represents a crucial period for Ripple and XRP as they face legal battles that could shape their future trajectory.
Ripple is preparing for a significant hearing on January 11 in the Zakinov v Ripple Labs case, brought by XRP holders who allege misleading information and unregistered security sales. The virtual session, presided over by Judge Phyllis J. Hamilton, aims to obtain approval for class notice. This trial, initiated by plaintiff Vladi Zakinov, has been postponed and is now scheduled for April 15, 2024, due to various delays.
Simultaneously, Ripple continues to grapple with the SEC’s lawsuit. The ongoing remedies litigation focuses on the potential penalties Ripple may face for its previous XRP sales to institutional investors.
The final trial is set for April 23, 2024, requiring both the SEC and Ripple to complete essential procedures before the court date. By March 13, 2024, the SEC must submit its brief on remedies, while Ripple is obligated to file its opposition by April 12, 2024.
A significant development in the legal battle occurred in July 2023 when a federal court ruled that Ripple violated securities laws through its institutional XRP sales. However, the court differentiated between programmatic sales and other distributions, dismissing them from the SEC’s allegations of securities violations.
In a post on X, Bill Morgan mentions joining a lawsuit against Ripple regarding XRP sales. He highlights that XRP investors were granted class status in the lawsuit, alleging that Ripple sold XRP as unregistered securities. Morgan points out the limited support for Zakinov compared to the strong backing for Ripple against the SEC. This underscores the XRP community’s perception of the SEC as their primary adversary and their reluctance for Ripple to be found guilty of selling unregistered securities.
The outcomes of these imminent legal battles carry significant weight and could potentially impact the price trajectory of XRP, which is currently around $0.56.
As April 2024 approaches, stakeholders closely monitor these legal proceedings, recognizing their potential to significantly shape Ripple’s future direction and the trajectory of XRP in the broader cryptocurrency landscape.
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Ripple (XRP)