Gemini, the US-based crypto exchange, recently announced its support for XRP, the digital asset associated with Ripple. This decision comes after a prolonged absence due to the legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC). In December 2020, the SEC filed a lawsuit against Ripple Labs, alleging that the company conducted an unregistered securities offering by selling XRP tokens. As a result, several leading cryptocurrency exchanges, including Gemini, decided to delist XRP from their trading platforms to mitigate potential regulatory risks.
However, the recent partial victory achieved by Ripple Labs in the court battle against the SEC has prompted Gemini to reconsider its stance on XRP. Traders and investors can now deposit XRP tokens on the Gemini platform, expanding the range of available investment options for cryptocurrency enthusiasts and strengthening the overall cryptocurrency ecosystem. This move also has the potential to increase liquidity, trading volume, and market stability for XRP and other cryptocurrencies.
Gemini offers various channels for XRP trading, including the API/FIX and ActiveTrader applications for USD trading pairs. Additionally, the Gemini Mobile App and website support trading pairs in multiple currencies such as USD, GBP, EUR, CAD, SGD, HKD, and AUD. By integrating XRP into its platform, Gemini is providing users with more opportunities to engage in XRP trading and participate in the growing cryptocurrency market.
While Gemini’s decision to support XRP is a positive development for Ripple and its token holders, the legal battle between Ripple Labs and the SEC is far from over. According to a Reuters report, the SEC has announced its intention to appeal the recent court decision involving Ripple Labs. This appeal seeks a review of the US District Judge Analisa Torres’ ruling, in which she determined that the sale of Ripple’s XRP digital token on public exchanges was compliant with federal securities laws.
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The outcome of the appeal is crucial for the SEC’s ability to enforce securities laws in the cryptocurrency market and has implications for numerous other related lawsuits. Judge Torres’ initial ruling was seen as a partial victory for Ripple, as she concluded that the XRP token’s sale on public exchanges did not violate securities laws. However, the judge did find that Ripple violated securities laws by selling XRP to institutional investors.
In response to the SEC’s appeal, Ripple’s Chief Legal Officer, Stuart Alderoty, has challenged the SEC’s authority to proceed with the appeal. Alderoty argues that the SEC does not currently possess the “right” to appeal, leading the agency to seek permission to file an “interlocutory” appeal. Ripple has announced its intention to file a response with the court, adding anticipation to the ongoing legal battle.
The upcoming response from Ripple and the court’s decision on the SEC’s appeal request will provide crucial insights into the trajectory of this high-stakes legal confrontation. The outcome will not only impact the future of Ripple and XRP but also influence the regulatory landscape for cryptocurrencies in the United States.
In the midst of these legal developments, XRP’s price has experienced fluctuations. On the 1-day chart, XRP recently saw a 3.7% decline in the 24-hour time frame. The price movements of XRP and other cryptocurrencies are closely tied to regulatory and legal developments, highlighting the need for clarity and certainty in the cryptocurrency market.
In conclusion, Gemini’s decision to support XRP and allow its users to deposit XRP tokens on its platform is a significant step forward for both the exchange and the cryptocurrency ecosystem. While the legal battle between Ripple Labs and the SEC continues, the outcome of the appeal will have far-reaching implications for the regulation of cryptocurrencies in the United States. As the market eagerly awaits further developments, it’s clear that the future of XRP and other cryptocurrencies is closely intertwined with the regulatory environment in which they operate.
