Dear readers, following the story when, in December, prominent crypto-currency XRP-Ripple was slapped a lawsuit by SEC, some developments have taken place in this case, this month.
US Securities and Exchange chairman Gary Gensler, doesn’t show any signs of slowing down from the verbal attacks and allegations he put up against Ripple Labs Inc.
As on April 17th, before the federal judge, the agency put forth the demand that repeated requests made by Ripple to hand over the internal emails and communication, onto their personal gadgets, should not accepted. Such is a move is an indication that SEC is still going tough against the Ripple, which traded XRP digital token without getting it registered as a security. In its most recent documentation, filed with the court, the SEC used emphatic terms of English language to strengthen their case, such as “harass” the agency and “gamesmanship” with no respect to discovery. Clearly, Ripple value got pretty down following the lawsuit, while the crypto fraternity has a closer look on it, as such a case is likely to have its ripple effects on a multitude of other coins.
Interestingly, US regulators have put Bitcoin and Ether, out of securities’ category, while they have not come clean on other tokens and therefore, lawsuit can be floated against them too.
In the interest of industry, many prominent flag-bearers of digital-coins have expressed hope that Mr. Gensler, who has been a celebrated lecturer on crypto-currency courses, at Massachusetts Institute of Technology, will ward off uncertainties over regulations and would buy back the asset class, to remove dark cloud that has taken the whole of industry within its fold.
Ripple Registers A Growth of 300%:
In the past 2 weeks, from March end, such a huge growth is registered that can be attributed to the encouraging news filtered through the legal ground, causing euphoria among the interested parties, tossing its prices to an all time high.
None can deny the fact that financial markets witness price fluctuations on that basis of industry news as well as news from all around. Say if, tensions between US and China get to more tense, it tends to send the prices higher in different stock exchanges. In short, news can be encouraging or disturbing to investors.
Going by the comparison, Doge Coin, which is said to be close to Elon Musk’s heart and is a wide favourite and preferred on the internet too, witnessed an increase of about 200% around the time of April 16th. Besides, when it comes to capitalization, it is 5 times lesser than that of Ripple. Capitalization, scholars opine, is immensely crucial for the success of crypto-currencies, as when any crypto-currency has abundance of money, a handful of sellers can easily make access to buyers, when there is a rise in prices while keeping the overall price factor afloat and unchanged.
On their part, buyers feel the thrill of making some judicious and lucrative investment, as prices go high, hoping to make some profit in near time.