What Does the Ripple-SEC Ruling Mean for XRP Sales?
After the recent resolution of the legal dispute between the SEC and Ripple, many are questioning the implications of the ruling. The judge stated that only retail sales of XRP do not qualify as securities sales, while sales to institutions do fall under this category. As a result, Ripple will have to pay damages. Lawyer John E. Deaton believes that if Ripple ends up paying $20 million or less, it would be considered a 99.9% victory.
Calculating Ripple’s Payment
In response to Deaton’s argument, lawyer Jeremy Hogan further elaborated on how much Ripple should pay in terms of disgorgement to institutional investors. He emphasized that the amount should include net profits, deducting Ripple’s business expenses from the total. Hogan also emphasized that these damages should go to actual victims who lost money on their investment, rather than buyers who profited from an increase in XRP price.
XRP Trading Update
At present, XRP is trading at $0.694, experiencing a 9.77% increase for the day and approaching the significant resistance level at $0.70.
Hot Take: Implications of the Ruling
The recent ruling in the Ripple-SEC case has significant implications for XRP sales. While retail sales are not considered securities sales, institutional sales fall under this category. The amount Ripple will have to pay in damages is still uncertain but could be seen as a significant victory if it remains below $20 million. It is important to consider net profits and compensate actual victims who suffered losses rather than those who profited from XRP price increases. The current trading price of XRP reflects positive market sentiment following the resolution of this legal dispute.
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