Dogecoin Co-Creator Responds to XRP Ruling, Anticipates Ripple’s Impact on Cryptocurrency Market
Billy Markus, co-founder of Dogecoin, believes that the recent ruling on the Ripple vs. SEC case will have significant repercussions on the cryptocurrency market. In response to a Twitter user’s inquiry, Markus stated that the news about XRP was the catalyst for the market movement. This comes after a federal judge ruled that XRP is “not necessarily a security on its face,” which has caused a stir in the cryptocurrency community.
The SEC had previously sued Ripple in 2020, alleging that the firm sold XRP without proper registration as a security. The recent ruling by Judge Analisa Torres stated that while XRP was a security when sold to institutional investors, it was not considered a security when sold to the general public. The judge argued that institutional investors likely had more information about XRP’s security-like features, while the general public did not.
The SEC’s classification of 19 other digital assets as securities in lawsuits against Binance and Coinbase has led to a rally in these assets following the ruling on XRP. Cryptocurrencies such as Polygon’s MATIC, Solana’s SOL, and Cardano’s ADA have seen an increase in value as the ruling suggests they may not end up being considered securities.
Despite the ruling, the SEC has responded by stating that it is reviewing the decision and is pleased that the court found XRP tokens were sold as investment contracts in violation of securities laws in certain circumstances.
Overall, the ruling on the Ripple vs. SEC case has caused significant attention within the cryptocurrency community. The classification of XRP as a security when sold to institutional investors but not to the public has raised questions about the regulatory landscape for cryptocurrencies. The impact of this ruling on other digital assets and the future of cryptocurrency regulation remains uncertain.
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