The recent outcome of the SEC v Binance case, where Judge Amy Berman Jackson rejected the SEC’s claims on Binance’s BNB token, could have a significant impact on the regulation of XRP and the broader cryptocurrency market. This highlights the importance of court decisions in shaping future SEC rulings, as demonstrated by John E. Deaton’s involvement with 75,000 XRP holders.
Amidst the ongoing developments in the SEC vs Ripple case, XRP has shown some positive movement, gaining 1.67% in the last 24 hours and surpassing $0.48 at the time of writing. This recovery has allowed XRP to overcome its losses from last week and may potentially lead to a challenge of the $0.50 mark, according to CNF.
While the SEC v Ripple case is still pending, the outcome of the SEC v Binance case could have broader implications for the crypto market, including XRP. Judge Amy Berman Jackson recently rejected the SEC’s claim that secondary market transactions of Binance’s BNB token should be classified as securities under the Howey test. This ruling was welcomed by pro-XRP lawyer John E. Deaton, who stated that the judge not only cited his Amicus Brief but also recognized the thousands of affidavits submitted by XRP holders, ultimately ruling that “XRP itself is not a security.”
John E. Deaton, representing 75,000 XRP holders who were part of the Programmatic Sales of XRP ruling, has filed an Amicus Brief. It is worth noting that the court decision in the SEC v Binance case could also have implications for the SEC v Coinbase case, according to Crypto News Flash.
The increased involvement of the Commodity Futures Trading Commission (CFTC) could benefit XRP and the broader crypto market in several ways. Firstly, it could help clarify the status of cryptocurrencies as securities, potentially opening the door for XRP-spot ETFs and a wider crypto-spot ETF market. Secondly, greater CFTC involvement could support the passage of the Lummis and Gillibrand Responsible Financial Innovation Act, granting the CFTC more authority over the U.S. digital asset space and promoting innovation while protecting consumers. Lastly, it could reduce regulatory burdens by decreasing the likelihood of the Digital Asset Anti-Money Laundering Act becoming law, which proposes stringent AML and CFT frameworks for digital assets under the SEC’s jurisdiction.
In summary, court rulings that cryptocurrencies are not securities could strengthen the role of the CFTC and create a more innovation-friendly environment. This could potentially lead to the approval of spot XRP ETFs and reduce regulatory challenges, as reported by Crypto News Flash.
In terms of XRP price action, it remains below the 50-day and 200-day EMAs, indicating bearish trends. However, a move above these trend lines could allow bulls to target the 50-day EMA, with a further move towards the 200-day EMA and the $0.55 mark.
Investors should closely follow updates related to SEC vs. crypto cases and the SEC’s response to the Binance ruling. If XRP falls below the $0.4650 level, it could pave the way for further declines towards the $0.45 mark.