A recent tweet by Ripple lawyer Bill Morgan has sparked discussions about the potential outcome of Ripple’s ongoing lawsuit with the Securities and Exchange Commission (SEC). In his tweet, Morgan suggested that if the court only holds Ripple responsible for XRP sales up to 2015 and does not order a stop to future sales to On-Demand Liquidity (ODL) customers, it could be a good result for Ripple. This would mean that Ripple could continue to sell XRP to ODL customers who are not investors and do not expect profits from XRP sales.
Morgan also addressed the possibility that the SEC may not be able to obtain a permanent injunction on future Ripple XRP sales. This is because the current XRP sales are to ODL customers who are not investors and do not expect profits from XRP sales. If this is the case, Ripple could continue to sell XRP to ODL customers without any legal repercussions.
In 2020, the SEC filed a lawsuit against Ripple, accusing the blockchain company of conducting an unregistered security offering in 2013. The SEC claimed that Ripple raised over $1 billion by selling XRP to investors. However, Ripple has strongly defended itself in this case, stating that XRP is not a security. The lawsuit has had a negative impact on the price of XRP.
Since the lawsuit was filed, the price of XRP has been on a downward spiral, hindering its growth. At present, XRP is 87% down from its all-time high and is trading at $0.4653. However, a positive outcome to the ongoing lawsuit could see the price of XRP shoot up.
The outcome of Ripple’s lawsuit with the SEC remains uncertain. However, Morgan’s tweet has provided some insight into the potential scenarios that could play out. If Ripple is only held responsible for XRP sales up to 2015 and is allowed to continue selling XRP to ODL customers, it could be a positive outcome for the company. Additionally, if the SEC is unable to obtain a permanent injunction on future Ripple XRP sales, it could be a further win for Ripple.
The cryptocurrency community is eagerly awaiting the outcome of Ripple’s lawsuit with the SEC. The case has far-reaching implications for the entire cryptocurrency industry and could set a precedent for future cases involving digital assets. Until the outcome is decided, the price of XRP is likely to remain volatile.