XRP rocketed 19% today, fueled by a seismic ruling in Ripple Labs’ three-year courtroom odyssey. If you’re asking ‘why XRP is going up?’ It’s because it’s over. They won.
Judge Analisa Torres in New York delivered a win for XRP’s parent company Ripple, doling out a $125 million penalty but securing the company against future securities law infractions. Many online are taking this as not just a big win, not just for Ripple but for crypto regulation.
“This is a victory for Ripple, the crypto industry, and the rule of law,” proclaimed Ripple CEO Brad Garlinghouse on the X platform.
Why is XRP Going Up? Judge’s Ruling and Financial Penalty
In her ruling on Wednesday, Judge Torres fined Ripple Labs $125 million and barred future securities violations.
This follows her July 2023 decision: XRP sales to institutions broke the law, but public sales on exchanges didn’t.
“The SEC’s motion for remedies and the entry of final judgment is GRANTED IN PART and DENIED IN PART,” read the court filing. “The Court shall enter a final judgment enjoining Ripple from further violations of the securities laws and imposing a civil penalty of $125,035,150.”
The Securities & Exchange Commission (SEC) wanted to make an example of XRP initially seeking a $2 billion fine against Ripple, with Ripple countering a fine of $10 million. The final settlement amounted to $125 million.
Take notes for the next time you need to negotiate a contract with your boss.
After a 4 year battle, it's final
For all those predicting "moon" when it finished, now is your time to shine
We just attempted breakout of the 7 year triangle again
Full acceptance over ~$0.65 is the key to break free https://t.co/Yan91pxEUY pic.twitter.com/5v9s00p2we
— Dom (@traderview2) August 7, 2024
XRP ripped to $0.63 off the news, outperforming most coins during this market slump. Now at $0.60, it’s up 44.88% in 30 days, triggering a wave of short-position liquidations.
“XRP IS READY TO FLY. NO MORE HOLDING IT BACK! NO MORE PRICE SUPPRESSION! THE LAWSUIT IS DONE!!” exclaimed crypto researcher Ripple Van Winkle on X.
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The Bull Case for XRP
What’s being overlooked is the launch of XRP’s new stablecoin, RLUSD, on its XRPL platform sometime this year.
Stablecoins pump the native token of the network they are on. Look no further than what BUSD did to pump BNB.
RLUSD will pump XRP.
The SEC has 60 days from today to decide if they want to appeal Judge Torres’ ruling. October 6th 2024, at 11:59 pm ET is the very last chance the SEC will have.
After that, Ripple will be in the clear, and it will most likely launch RLUSD after October 6th of this year.
Here’s a mindblowing fact: 80% of Japanese banks already use XRP. As are banks in other foreign countries. With the lawsuit finally over, expect American banks to partner with Ripple.
Wells Fargo will probably be the first. Yeah… I’m thinking we’re back.
XRP Is About to Breakout & Broader Implications
The price spike from XRP blindsided futures traders, wiping out $5.4 million in short positions in just four hours. If XRP breaks cleanly past $0.65, another $20 million could go up in smoke, cranking up the current market chaos. God, you gotta love this.
“The SEC’s unhinged campaign against us is finally over. Let’s all hope this ends this Administration’s war on crypto,” added Ripple Labs co-founder Chris Larsen.
Ripple’s legal win is a game-changer for the crypto world, long under the regulatory microscope. Moreover, this case could set the stage for future crypto securities battles.
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
