The recent settlement agreement between Terraform Labs and the US SEC has caused a stir within the Ripple community just before the case verdict is announced. Ripple is forging ahead with its XRPL development plan outside the US to ensure widespread adoption of XRP.
The legal battle between the SEC and Ripple Labs, a leading blockchain payment company, regarding the sale of XRP to fund its activities continues to draw varied opinions. The lack of clear laws from the US Congress has allowed the agency to interpret old laws with emerging technology.
However, the recent approval of spot Ethereum exchange-traded funds (ETFs) in the US and Hong Kong has raised hopes for clearer regulations in the altcoin industry. Ripple’s CEO, Brad Garlinghouse, believes that it’s only a matter of time before other spot ETFs, including those for Solana, Dogecoin, and XRP, are approved in the US.
As the Ripple vs. SEC lawsuit nears its conclusion, recent events have shed light on the situation. The US SEC’s settlement with Terraform Labs and its former CEO, Do Kwon, involved a deal worth $4.47 billion and an additional fine of approximately $204 million for Kwon to aid in the bankruptcy settlement plans.
Ripple’s Chief Legal Officer, Stuart Alderoty, criticized the US SEC for prioritizing headlines over good policy. Ripple is still pushing for the court to seal its financial documents in response to the US SEC’s motion to reveal XRP sales from the past two years.
Despite the legal challenges in the US, Ripple remains committed to expanding its products and services globally. The collaboration between Ripple and Archax, a UK-regulated digital asset exchange, aims to boost the adoption of RWA on XRPL.
In addition, Ripple’s acquisition of Standard Custody and the rollout of an EVM-compatible sidechain for XRPL demonstrate the company’s commitment to DeFi development. Ripple has also announced the upcoming launch of a stablecoin called Ripple USD (RLUSD), backed by the US dollar on the XRPL and Ethereum network.
In terms of XRP price action, despite the recent crypto correction, XRP is striving to reclaim the 50-week Moving Average (MA) as a support level. If the price continues to decline, XRP may target a support level around 31 cents. However, a rebound from the current level could propel XRP towards its all-time high in the coming months.
With a recent 8% drop in price, XRP is currently trading around 48 cents. For more information on Ripple and XRP, check out our recommended guides and news updates.