Ripple Lawsuit Damaged XRP Adoption, Says Lawyer
According to lawyer and founder of CryptoLaw, John Deaton, the ongoing lawsuit between Ripple and the SEC has caused damages for the firm and its native token, XRP. Deaton argues that the legal battle affected the potential mass adoption of XRP in the last three years.
Key Points:
- Major adopters of XRP, such as Coinbase and MoneyGram, utilized the token for cross-border payments before the SEC lawsuit.
- Coinbase, after conducting a stringent assessment, listed XRP on its platform with the belief that it was not a security.
- The SEC sued Ripple in December 2020, leading companies like Coinbase and MoneyGram to delist or end partnerships with XRP.
- The recent ruling stating that XRP is not a security may not have fully mitigated the damages caused by the lawsuit.
- John Deaton questions whether Coinbase would have invested in Ripple if the lawsuit had not occurred.
Hot Take: The Ripple-SEC lawsuit has had a significant impact on XRP’s adoption and partnerships. Despite the recent ruling in favor of Ripple, the damages caused by the legal battle may have long-lasting effects on the token’s growth and development.
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