Despite a court ruling affirming that XRP is not a security, the U.S. Securities and Exchange Commission (SEC) remains steadfast in its assertion that it is. This conflicting stance has led to widespread speculation as Ripple, the entity behind XRP, initiates a cross-appeal against the SEC’s claims in the ongoing legal dispute.
Bitnomial Takes Legal Action Against SEC Regarding XRP Classification
The SEC’s refusal to acknowledge the court’s decision comes at a time when Bitnomial, a prominent crypto derivatives exchange, has filed a lawsuit challenging the classification of XRP futures as “security futures.”
Bitnomial’s challenge asserts that XRP is already regulated by the Commodity Futures Trading Commission (CFTC), highlighting concerns of regulatory overreach by the SEC.
This steadfast position by the SEC has raised concerns within the crypto community, with many questioning the agency’s motives in prolonging the high-profile case. Ripple’s recent cross-appeal is progressing, with all necessary paperwork filed and the appeal fee paid at the U.S. Court of Appeals, setting the stage for another intense chapter in the SEC vs. Ripple legal battle.
Legal Professionals Critique SEC’s Assertions
Furthermore, Bill Morgan, a lawyer representing pro-XRP interests, has criticized the SEC for using earlier briefs from the Ripple case to support its claims. He emphasizes that the court had previously ruled that not all XRP sales constitute securities, a fact seemingly overlooked by the SEC.
Many individuals in the crypto space view the SEC’s actions as an attempt to exert control over the digital asset market, despite facing growing opposition.
Against this backdrop, Ripple’s decision to pursue a cross-appeal underscores its dedication to challenging the SEC’s continued pressure. The ruling by Judge Torres in July 2023, affirming that XRP sales on secondary markets do not constitute securities, was met with enthusiasm in the crypto community.
XRP Price Surge
In light of these developments, XRP’s price experienced a 0.7% increase, reaching $0.54, while trading volume surged by 55% to $1.31 billion. This uptick in confidence among market participants is evident, particularly with XRP futures open interest rising by 4% to $713.26 million.