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1/8
If you are a casual observer and are a bit unclear why the $XRP case is worse for Ripple than cases against $EOS, $KIN and others were, here is a quick summary:
If you are a casual observer and are a bit unclear why the $XRP case is worse for Ripple than cases against $EOS, $KIN and others were, here is a quick summary:
2/8
1. Unlike Kin and EOS, where the SEC alleged the securities violations were just at the point of sale, the SEC is alleging here that $XRP is *STILL* in violation of securities law present day.
That means they believe it is currently a security, hence the exchange reactions.
1. Unlike Kin and EOS, where the SEC alleged the securities violations were just at the point of sale, the SEC is alleging here that $XRP is *STILL* in violation of securities law present day.
That means they believe it is currently a security, hence the exchange reactions.
3/8
2. They've got multiple document points of proof of centralization, acknowledgement of securities issues, and selling practices in writing.
There is no room to plead ignorance/stupidity here.
2. They've got multiple document points of proof of centralization, acknowledgement of securities issues, and selling practices in writing.
There is no room to plead ignorance/stupidity here.
4/8
3. They've personally named the executives as liable, which the SEC does when they go for a kill shot. This is much more common in fraud action than general securities action.
3. They've personally named the executives as liable, which the SEC does when they go for a kill shot. This is much more common in fraud action than general securities action.
5/8
4. There is an American entity at fault falling solely under SEC jurisdiction. No questions about it.
4. There is an American entity at fault falling solely under SEC jurisdiction. No questions about it.
6/8
EOS got lucky with a settlement, ambiguity and the fact it was no longer found to be a security. Same with Kin.
Projects like Unikoin Gold however were dealt fatal blows.
The shot the SEC lined up here is way worse.
EOS got lucky with a settlement, ambiguity and the fact it was no longer found to be a security. Same with Kin.
Projects like Unikoin Gold however were dealt fatal blows.
The shot the SEC lined up here is way worse.
7/8
Exchanges that aren't broker-dealers and have any US exposure at all now need to delist $XRP until the case is settled.
Same with purchasing agents, trade desks and funds. It's death by a thousand cuts.
Exchanges that aren't broker-dealers and have any US exposure at all now need to delist $XRP until the case is settled.
Same with purchasing agents, trade desks and funds. It's death by a thousand cuts.
8/8
And this case will likely drag out for 2+ years before there is clarity.
Crypto projects have a chance to settle and resolve if the SEC thinks they were only previously centralized.
Centralized payment databases have no path to safety.
And this case will likely drag out for 2+ years before there is clarity.
Crypto projects have a chance to settle and resolve if the SEC thinks they were only previously centralized.
Centralized payment databases have no path to safety.
