XRP News: In a recent legal development, the United States Securities and Exchange Commission (SEC) has filed lawsuit against the cryptocurrency exchange Kraken. The SEC accuses Kraken of operating without the necessary securities registrations, reflecting the agency’s ongoing scrutiny of the crypto sector. Interestingly, in this legal action, Ripple’s native token, XRP, is notably absent from the list of digital assets in question.
XRP Excluded As a Security
Meanwhile, Ripple itself is navigating its legal challenges with the SEC. Engaged in a long-standing lawsuit, Ripple has secured several preliminary victories in recent months. These successes set the stage for a significant trial slated for the coming spring. This trial could shape the future of Ripple’s interactions with regulatory bodies.
Significantly, this legal action against Kraken isn’t isolated since the SEC has taken similar steps against other major players in the cryptocurrency industry, including Binance and Ripple.
The lawsuit alleges that Kraken offered trading services in various unregistered securities, including Solana (SOL), Cardano (ADA), Polygon (MATIC), Internet Computer (ICP), Cosmos (ATOM), Algorand (ALGO), Sandbox (SAND), Decentraland (MANA) and Chiliz (CHZ). This broad sweep by the SEC highlights the agency’s firm stance on regulatory compliance within the crypto sector.
Implications for XRP and the Crypto Market
While XRP is not part of the SEC’s lawsuit against Kraken, Ripple’s ongoing legal battle with the SEC continues to unfold. This situation has slightly impacted XRP’s market performance, with a minor price decline observed. However, excluding XRP from the recent SEC action against Kraken marks a significant moment for Ripple, differentiating it from other cryptocurrencies under regulatory scrutiny.
However, despite the SEC’s exception, XRP has been on a retracement in the previous 24 hours, with the price dropping from a high of $0.6229 to an intraday low of $0.59. At press time, XRP price was trading at $0.6, a 2.25% dip from the intraday high.
XRP/USD 24-hour price chart (source: CoinGecko)
XRP’s market capitalization fell by 2.665 % during the price decline to $32,444,660,003. However, its 24-hour trading volume climbed by 31.47% to $1,375,983,330, indicating increased trading activity.