XRP up by 60%, Is the SEC Done With Ripple?
Ripple is struggling in a lawsuit with SEC since December.
The company has turned around the PR nightmare by getting important partnerships.
XRP seems to be on a roll, reaching new highs in light of the bullish crypto market recently. However, this begs the question, is the SEC done with Ripple?
Ripple’s Battle with the Securities and Exchange Commission (SEC)
XRP’s parent company, Ripple was tangled in lawsuit troubles ever since the SEC opened up a case against the global payments company. It accused Ripple of offering unregistered securities up to the amount of $1.3 billion, starting in 2013. The dispute, which began in December last year, has really ended up nowhere but has done much to damage XRP’s reputation. In spite of this, its market cap has risen to levels where Ripple can just pay up tokens to settle.
However, one reason why Ripple needs to follow through with the lawsuit has been because of its biggest competitor, SWIFT. The Society for Worldwide Interbank Financial Telecommunication does large-scale transactions across 11,000 financial institutions in more than 200 countries. In order to combat that, Ripple needs to make sure global banks, treasuries, etc., want to work with it. Resolving the case and attaining a compliant status with regulators is the only way.
What About Now?
As is obvious, the current controversy led to a big dip in the token’s price. But now, the token is going up at a fast pace. This week alone, the token has risen by 57.8%. Spurred by the market uptrend recently, XRP’s unique features as a token are contributing a lot to its growth. Ripple is also benefitting from new development in the above-mentioned lawsuit from the SEC.
Yesterday, the SEC refused to hand over evidence discovery documents to Ripple’s defense team, despite the judge’s insistence. To add to this, it seems that the lawsuit has gotten Ripple more media attention. As such, the company successfully converted a PR nightmare into a crucial marketing endeavor. It got the support of many important firms recently. This includes GME Remittance, one of the largest non-bank remittance service providers in South Korea, which joined Ripple’s RippleNet. Before this, Japan’s money-transfer provider SBI Remit also teamed up with mobile payment service Coins.ph and SBI VC Trade exchange to carry payments from Japan to the Philippines through Ripple.