The post Kraken Ruling Boosts XRP; Crypto Community Awaits SEC’s Next Move in Ripple Case appeared on BitcoinEthereumNews.com.

XRP sees a 1.2% gain, closing at $0.6131, following a recent court ruling in the Kraken-SEC case. Judge William Orrick rejected Kraken’s Motion to Dismiss the SEC’s claims. Meanwhile, the court ruling aligned with the Ripple case’s reasoning that tokens aren’t securities. On Saturday, August 24, XRP experienced a modest gain in the cryptocurrency market, rising 1.2% to close at $0.6131. This followed a 6% increase the day before, during which XRP briefly reached a high of $0.6304 before pulling back. Notably, the gain comes as the crypto community digests a recent court ruling in the case of Kraken, a U.S.-based cryptocurrency exchange, against the U.S. Securities and Exchange Commission (SEC).  On Friday, Judge William Orrick rejected Kraken’s Motion to Dismiss the SEC’s claims that 11 cryptocurrencies, including XRP, are traded as investment contracts. While the ruling may seem like a setback for Kraken, the exchange’s Chief Legal Officer, Marco Santori, hailed it as a win.  Santori stated that the court’s decision aligns with the reasoning in the Ripple case, where a token itself isn’t considered a security, but the agreements surrounding it might be. He further emphasized that the SEC’s argument that tokens are securities was rejected. Moving forward, the SEC will need to prove that each transaction on Kraken meets the Howey Test criteria. He expressed confidence that Kraken will prevail in proving these criteria are not met. The SEC filed charges against Kraken in November 2023. It alleged that the exchange acted as a broker, dealer, exchange, and clearing agency for what it termed crypto asset securities without proper registration.  The SEC contends that certain crypto assets traded on Kraken qualify as securities because they were offered and sold as investment contracts, initially by their primary issuers and subsequently by Kraken. However, Kraken disputes this characterization, arguing…

---

Filed under: News - @ August 25, 2024 11:06 am