Katie Haun, currently a crypto investor, has highlighted her side of the legal battle between Ripple and the Securities & Exchange Commission. Saying that the legal battle is far from over, an appeal to the court’s decision is possible but unlikely. The reason is the SEC may not be interested in having legal clarity over the matter. The side is yet to be confirmed by the SEC or its representatives; however, it is indeed possible that the SEC may choose to skip putting an appeal on the table.
It was a three-year legal battle between Ripple and the SEC that ended with a court ruling that there is a distinction between XRP itself and other transactions where the platform received funds under the contract. Meaning there was a written commitment in exchange via an investment contract under Howey.
Analisa Torres, the US District Judge, has ruled that Ripple has violated laws by offloading XRP on sophisticated institutional investors.
With that done & dusted, nearly, the crypto community believes that the legal battle will now come in handy for other ventures. For instance, JPMorgan believes that the court ruling, in that case, will work well for Coinbase by putting it in the best position. Coinbase is highly likely to receive benefits from the confidence flowing over the market.
Moreover, clarity through the case will help Coinbase regain its leading position and reputation in the industry.
Ripple’s XRP is seeing the effect of developments. The native token is at $0.75204, up by 5.45% in the last seven days. The increase in the last seven days comes to 5.28%. The token is estimated to touch the maximum value of $0.98 by the end of 2023. The future of XRP also poses a minimum value of $0.40 that could alternatively be achieved by the end of the current year. Speculation surrounding the token surpassing the value of $1 is in the picture. That could be a reality in the next year with a minimum value of $0.84, also an estimate.
Katie’s understanding comes from a discussion with legal colleagues. This includes advisors to Haun Ventures – James Burnham and Steve Engel. The consensus is that the court has drawn a clear line between transactions not qualifying as those securities and qualifying for contractual commitments. The same line could reappear in other cases (including Coinbase).
In conclusion, XRP is merely a digital token and not a contract transaction in itself.
The court, however, has ignored that the investment contract actually requires a contract to impose an obligation after the sale on the seller, further enabling the buyer to claim a share in profit.
Meanwhile, the community has taken note of the explanation and development in the case. Members have expressed gaining clarity of what is actually happening and what may happen in the days to come.