Ripple Wins Lawsuit Against SEC, XRP Not Deemed Security; Altcoin Market Surges; Binance Faces Challenges; Spot Bitcoin ETFs Gain Recognition from SEC

B. Ali
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Exciting news this week as Ripple won their lawsuit against the SEC, with the judge ruling that XRP is not a security. This groundbreaking decision caused a market-wide rally, especially for XRP and other altcoins, fueling speculation of an upcoming altcoin season. This means that the ruling could potentially pave the way for a surge in alternative cryptocurrencies, generating increased interest and investment in the market.

In the meantime, Binance faced some challenges, as they dealt with regulatory pressure and had to implement layoffs. Moreover, they were involved in legal disputes, adding to their troubles. On the regulatory front, spot bitcoin ETFs gained recognition from the SEC, with applications from major players like BlackRock, Fidelity, and Galaxy getting approval. 

Hence, this development was seen as a significant development as it opens doors for wider adoption and investment in Bitcoin. Overall, it was an eventful week with positive outcomes for Ripple and the altcoin market, while Binance faced difficulties, and the recognition of spot bitcoin ETFs marked an important step forward for the cryptocurrency industry.

Ripple vs. SEC Lawsuit: Ripple Receives Favorable Ruling as XRP Not Deemed Unregistered Security

As mentioned above, the big news this week was the final ruling in the Ripple vs. SEC lawsuit. But, before we get to that, let’s talk about the LBRY vs. SEC case that had people worried. Some experts thought the decision in the LBRY case could impact the Ripple case. In the LBRY case, the judge didn’t decide if the sale of their tokens was considered securities trading under US laws. This made people wonder if it would set a precedent for the Ripple case. It left some uncertainty hanging in the air.

But the very next day, Judge Analisa Torres made her decision on Ripple, stating that XRP is not an unregistered security. Remember, the SEC accused Ripple of an illegal offering that raised $1.3 billion using XRP. Judge Torres determined that while sales of XRP to institutions by Ripple could be considered unregistered securities, sales to the public and distributions by Ripple and its executives didn’t meet the same criteria. This ruling caused a surge in XRP’s price, and many believe it could shape how digital tokens are classified in future cases.

Overall, this week ended with good news for Ripple, easing some concerns about XRP’s status. It’s an important ruling that could have broader implications for the cryptocurrency industry.

Ripple’s Legal Victory: XRP Relisted on Major US Exchanges, Boosting Confidence in the Crypto Market

After Judge Torres ruled that XRP is not an unregistered security, the crypto industry experienced a significant moment. This positive outcome sparked optimism and restored investor confidence in XRP and other altcoins. Consequently, within just 24 hours of the ruling, major centralized exchanges in the United States, including Coinbase, Kraken, Crypto.com, and Gemini, either relisted XRP or expressed their intention to support it.

Brad Garlinghouse, Ripple’s CEO, expressed satisfaction with the court’s decision. He highlighted that the ruling covers a significant portion of their operational activities, bringing transparency to the market. Garlinghouse also criticized the SEC for creating confusion and using aggressive tactics against the crypto industry, which negatively impacted the reputation of the United States within the global crypto community. He expressed gratitude for the support received from colleagues in the industry.

Garlinghouse emphasized that this ruling has rejuvenated XRP’s presence in the market, as multiple American exchanges have either relisted or planned to relist the digital asset. This development signals a positive shift for Ripple and XRP, as they can now move forward with more certainty and continue to contribute to the evolving crypto landscape.

Former SEC Chairperson Supports Spot-Based Bitcoin ETFs, Signaling Positive Momentum for Approval

This week, there has been notable progress in the US and Europe toward introducing spot-based Bitcoin ETFs. Jay Clayton, the former Chairperson of the SEC, showed his support for approving these ETFs in an interview with CNBC. He highlighted the similarities between spot and futures products and emphasized the benefits that spot offerings can bring to investors.

This development indicates a growing acceptance and recognition of Bitcoin as a legitimate investment asset, potentially opening up new avenues for investors interested in participating in the cryptocurrency market.

Clayton acknowledged the crypto industry’s advancements, especially in terms of institutional investments. He found it fascinating that prominent players are increasingly accepting Bitcoin, which signifies a growing level of trust in the crypto industry. This endorsement from Clayton adds to the positive momentum surrounding the development of spot-based bitcoin ETFs.

SEC begins acknowledging spot BTC ETFs

Bitwise Asset Management, a company based in San Francisco that manages assets, received recognition from the SEC for its proposal of a spot Bitcoin ETF. They first submitted the proposal in October 2021, but they made some changes and presented it again in June. The SEC also acknowledged applications from other well-known institutions like BlackRock, Fidelity, WisdomTree Funds, Invesco US, VanEck, Galaxy Digital, and ARK Investment.

While this recognition is important, it doesn’t guarantee approval. The SEC hasn’t approved any spot bitcoin ETFs yet, which creates uncertainty for the recent applications. However, the institutions remain hopeful that these ETFs will be approved in the future.

Europe to welcome first spot BTC ETF

Furthermore, Jacobi Asset Management, a London-based investment platform, announced plans to launch the first-ever European bitcoin exchange-traded fund (ETF) after facing some delays. The launch, originally scheduled for July 2022 on Euronext Amsterdam, had to be rescheduled due to concerns about market conditions. However, due to renewed interest in the product, the Bitcoin ETF is now on track for a planned launch this month.

In Australia, Monochrome Asset Management and Vasco Trustees collaborated to submit an updated application for a Bitcoin ETF on the Australian Securities Exchange (ASX). This marks the first proposal for a spot bitcoin ETF on the ASX since the introduction of a crypto-focused licensing framework. Vasco had previously obtained a license to manage spot ETFs in Australia, making it a valuable partner for Monochrome’s ETF proposal targeting retail investors interested in BTC and ETH.

 

About B. Ali PRO INVESTOR

Live webinar speaker and derivatives (Forex, Crypto, and Indices) analyst with a broad range of skills for evaluating financial data, investment trends, technical analysis, fundamental analysis, and the best ways to strategies investment selection.  Expertise: Trading Psychology; Speculative Positioning & Market Sentiment; Technical & Fundamental Analysis.