“As of now, the back and forth between Ripple founders and SEC has not really caused the price of the digital currency to dip” ~ Pinance.io CEO, Gerald Hardin
The tussle between Ripple founders and SEC has been going on for some time now. There is no doubt that the rise in popularity and value that Ripple was seeing before the lawsuit chaos was tremendous. The passion of the investors might not be at the same level before, but there’s silver lining to this dark cloud.
“The clouds of suspicion and uncertainty have been making the insight of many investors foggy, but Ripple is not going anywhere anytime soon,” says the CEO of Pinance.io, Gerald Hardin.
According to him, the blockchain technology and cryptocurrencies are the future of the world. Any court battles that are being fought against digital currencies will eventually succumb to the thought of not letting a new technology change the world.
The pandemic has created an environment of uncertainty, and conventional methods of transacting seem to be losing their value fast. If you have to stay home and shop, what could be better than using digital currencies for your shopping?
Toward the end of the last year, SEC made the bold move of pulling the creators of Ripple into the court. As per SEC, Ripple could be anything, but it is not a currency. As per the officials of the Securities and Exchange Commission, Ripple has to be treated as a security because it is one.
Now, the case revolves around the fact that if an entity is considered a security in the US, it has to be registered before any coin offerings events are launched. In the case of Ripple, it gathered billions of dollars from its early investors without registering itself as a security in the US.
“As of now, the back and forth between Ripple founders and SEC has not really caused the price of the digital currency to dip. At the same time, the creators of Ripple have seemed pretty confident with what has been going on in the court, which has also resulted in a great rally in the favor of Ripple in recent days. This shows, Ripple is not going down as people had expected,” said Pinance CEO.
In February, Ripple was trading at $0.446738. With what has been going on and the constant fear of regulation that clouds the cryptocurrency industry, the price should have gone down further. However, that has not happened and all of a sudden, you have Ripple trading at $1.582093 on May 1st, 2021.
This upward trend could mean a lot of things. Firstly, SEC might not have a strong case in the court. If there is uncertainty around the definition of securities, it will work out in the favor of Ripple eventually. Secondly, the founder of Ripple has been downplaying the seriousness of the situation pretty well, keeping people from losing interest in Ripple.
Lastly, whenever Bitcoin goes high, it has the same effect on some other currencies, which fortunately include Ripple too. If that stays true, “XRP might be making some more gains in a few days to come,” says the CEO of Pinance.