There has been an endless discussion around the infamous Ripple Labs and SEC case. The XRP investors and members of the cryptocurrency community are all eager to see the case reach its conclusion.
There are many speculations in favour of the defence as much as there are positive projections from the plaintiffs in the case. The remarks of selected personalities can be biased.
To seek the answer to the ultimate question, a media outlet conducted a public survey asking various industry professionals about their opinions. The case has been going on for about three years now, and the probability of its conclusion is drawing near.
Responding to the survey, David Reischer commented that other financial regulators in the country have regarded that XRP is not a security if there is not a determined issuer.
Legal Expert David Reischer Supports Ripple Labs
According to Reischer, SEC’s position in the lawsuit has weakened. He also pointed out that Ripple Labs never offered a contract for XRP investors to get a stake in the company or gain any rights by purchasing the cryptocurrency. He further noted that a favourable conclusion for Ripple Labs is beneficial for the entire crypto market.
He also talked about the necessity of clarity from regulatory agencies such as the CFTC and SEC on the matter of crypto regulations. Another legal expert from Pickett Las, Andrew Pickett, also participated in the survey.
He is based in Florida and claims that if Ripple emerges victorious at the end of the lawsuit, it could potentially reinstate the former glory of XRP in terms of price momentum.
Implications of the Ripple Labs Lawsuit on the Entire Crypto Market
As per the observation of Andrew Pickett, the outcome of the Ripple vs. SEC lawsuit can set a precedent for the entire cryptocurrency market.
He calls it a fundamental setup and its impact on financial institutions. He opines that the lawsuit could pave the way for wider adoption of cryptocurrencies and restore the shaken trust of crypto investors.
On the other hand, if SEC manages to win the case, it could spell out trouble for Ripple in capital letters. However, it is possible that SEC will end up levying legal fines on Ripple Labs and legally binding the company to register XRP as a security.
It is important to keep in mind that SEC has weakened its position among investors on account of its association with the FTX collapse. On the other hand, Ripple has presented some solid counter-evidence, such as William Hinman’s emails and a strong defence against prosecution.