Pro-XRP Lawyer Reacts to US SEC Labeled RLUSD As Unregistered in Ripple Lawsuit

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As a seasoned analyst with over two decades of experience in the financial industry, I find myself closely watching the developments surrounding Ripple and its stablecoin, RLUSD. The ongoing saga between Ripple and the US SEC has been a rollercoaster ride, to say the least, and it seems that the launch of RLUSD is adding another layer of complexity.

As an analyst, I’m closely monitoring the ongoing developments regarding the U.S. Securities and Exchange Commission (SEC) and its potential impact on the launch of the RLUSD stablecoin, particularly in light of the recent labeling of this stablecoin as an unregistered crypto asset in the Ripple lawsuit. In response to mounting concerns about SEC Chairman Gary Gensler potentially hindering the launch party, pro-XRP lawyer Bill Morgan has voiced his perspective on this matter.

XRP Lawyer Addresses US SEC’s ‘Unregistered’ Claim on RLUSD

As an analyst, I recently came across a comment from pro-XRP lawyer Bill Morgan on a post discussing the issuance of RLUSD, previously labeled as an ‘unregistered’ crypto asset by the US Securities and Exchange Commission (SEC) in their remedies-related reply brief. Despite receiving approval from the New York Department of Financial Services (NYDFS), some crypto investors remain uncertain about the Ripple USD stablecoin.

The article brings up the possibility of complications for Ripple concerning their RLUSD stablecoin, either from the SEC or its outgoing chair, Gary Gensler. Notably, the SEC has yet to comment on approval from the NFDFS. In the ongoing court case between Ripple and the SEC, the agency cited RLUSD to argue that Ripple sold unregistered crypto assets. While this doesn’t necessarily mean immediate action, having regulatory clarity is essential for wider adoption as it provides a clearer path forward.

Morgan responded by saying, “You’re right,” but he went on to point out that the Securities and Exchange Commission had made numerous inaccurate statements concerning cryptocurrency. He emphasized that not only had the SEC erred in their assessment of crypto, but they also misused the term “cryptocurrency asset securities” for which they later expressed remorse to the court.

Regarding the statement, Ripple doesn’t seem concerned. Whether it was intended as a warning or a threat, it’s been either ignored or circumvented. At this point, both the market and everyone else don’t seem to be giving it much attention because RLUSD is now under regulation.

Will the Stablecoin Benefit the XRP Price Rally?

Monica Long, President of Ripple, earlier addressed worries about the influence of the RLUSD stablecoin on XRP. She made it clear that the roles of Ripple’s USD and XRP within the ecosystem will differ distinctly. While XRP functions as a connecting asset for international transactions, facilitating cross-border transfers.

Simultaneously, the RLUSD stablecoin is primarily designed to make a difference by enhancing liquidity, improving functionality, and broadening business scope. Its applications range from cross-border transactions, decentralized finance, tokenization of real-world assets (RWA), and crypto on-off ramps, as it gets deployed on the XRP Ledger and Ethereum. Initially, it will be accessible in regions such as the Americas, Asia-Pacific, UK, and Middle East through its distribution and exchange partners.

Furthermore, the introduction of the stablecoin led to a significant increase in XRP’s price today by 12%. Over the past week, this surge has been even more substantial at 22%. Currently, XRP is trading at $2.62, with an intraday high reaching $2.72. The coin witnessed massive trading volumes of approximately $19 billion, marking a 172% increase compared to the previous 24 hours.

In the world of derivative trading, the combined value of XRP futures contracts has soared to an impressive $4.50 billion. This figure has experienced a significant surge of 19% over the past day, according to data from Coinglass. Bybit and Binance appear to be the main players driving this trade volume.

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2024-12-17 18:42