Home / Crypto Currency / XRP ‘100 Percent Not a Security,’ Ripple Claims

XRP ‘100 Percent Not a Security,’ Ripple Claims


Ripple price Uber

Advertisement

Join our community of 10 000 traders on Hacked.com for just $39 per month.

Fintech startup Ripple is pushing back against claims that its cryptocurrency, XRP, is a security under US regulations.

The XRP token — which functions as the native currency of the San Francisco-based company’s public Ripple Consensus Ledger (RCL) and the foundation for several of the firm’s blockchain products — is currently the third-largest cryptocurrency, with a circulating market cap of more than $22 billion.

Some allege that because Ripple distributes XRP by selling the coins — and most buyers purchase them as investments — it is subject to the same securities regulations that govern stocks, bonds, and even many initial coin offering (ICO) tokens.

If true, this could have serious legal ramifications, both for Ripple and the cryptocurrency exchanges that list it for trading.

Ripple, though, argues that those claims are unfounded.

“We absolutely are not a security. We don’t meet the standards for what a security is based on the history of court law,” Ripple’s chief market strategist, Cory Johnson, said during an interview with CNBC.

The discussion over whether XRP is a security resurfaces at semi-regular intervals, but the current debate stems from comments made by Coinbase President and COO Asiff Hirji in a recent appearance what may as well be renamed the “Cryptocurrency News and Bitcoin Channel.”

Toward the end of the interview, Hirji said that the exchange and brokerage giant is already listing every cryptocurrency for which it believes there is regulatory certainty. At present, the company lists four cryptocurrencies — and XRP is not one of them.

Johnson, responding to this and alluding to recent reports that Ripple had attempted to bribe Coinbase with incentives such as an interest-free XRP loan to list the token, claimed that the exchange did not cite regulatory uncertainty as the reason for declining its offer.

“Coinbase never ever raised the issue of whether or not XRP is a security in our discussions about listing XRP,” Johnson said. “We’re 100 percent clear, it’s not a security. We don’t meet the standards.”

Featured image from Shutterstock.

Follow us on Telegram.
Advertisement
Read more

Check Also

Polymath Price Hits $0.14 Following Major Gains

As all cryptocurrency markets continue to feel the pressure, a lot of investors grow uneasy. The extensive bear market of 2018 has gone on for some time now and seems to grow worse over time. Polymath, one of the lesser-traded altcoins, is making a small move up at this time. A somewhat surprising turn of events, albeit some ecosystem developments are worth paying attention to. Polymath Price Momentum is Surprising It is very difficult for any cryptocurrency or digital asset to buck the negative trend in 2018. Every small uptrend is suppressed pretty quickly, which makes for very unfavorable market conditions first and foremost. Whether or not this current Polymath price trend can remain in place for more than a few hours, is very difficult to guesstimate at this point. The overall market conditions do not warrant such a positive trend for more than a few hours. Over the past 24 hours, there has been a very notable Polymath price increase across the board. The USD value rose by 8.3% to $0.14, whereas the altcoin gained 9.4% on both Bitcoin and Ethereum. All of these gains are pretty impressive, especially when considering how there is just $2.6m in 24-hour trading volume. After all, with no real volume, there is no possibility of sustaining an uptrend. On social media, it would appear there are some interesting developments taking place behind the scenes of Polymath. The team recently unveiled their “documentation” on understanding how this protocol works exactly. Their focus on security token offerings is considered somewhat controversial at this time, albeit it is not entirely abnormal to see something like that materialize at such a crucial time. Understanding the Layers of the Polymath Networkhttps://t.co/bDTsorCGfM — Polymath (@PolymathNetwork) December 14, 2018 The social sentiment regarding Polymath also appears to be on the rise. The team over at The Tie confirms there is a notable increase in Twitter activity, which coincides with the current overall price increase. Whether or not that will be sufficient to keep things moving in this direction, is a different matter altogether. Anything is possible in this industry. #Polymath high sentiment alert. #Poly has the highest hourly sentiment of any #crypto on a 10% increase in tweet volume. Poly is up 8.57% today on low trading volume. https://t.co/9neNwzlp5p — The TIE (@TheTIEIO) December 15, 2018 Given all of the talk about security token offerings, the Polymath team also outlined a new standard known as ERC-1400. It is another step in the evolution of security tokens and one that seems to confirm there is a future for STOs despite pressure from various government agencies. As such, the Polymath price uptrend may be somewhat warranted, at least depending on how the ecosystem as a whole will move ahead. ERC-1400: Evolution of a Security Token Standard [Polymath Network] https://t.co/[email protected] #erc1400 #securitytokens #ethereum #polymath pic.twitter.com/GZnv0ccG9c — Ethereum Network (@EthereumNetw) December 12, 2018 With all of these gains across the board, one would expect things continually improve from here on out. At the same time, Polymath seemingly doesn’t have the trading volume to make big things happen. It will be an interesting market to keep an eye on under these circumstances, albeit nothing has been set in stone as of yet. Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency. The post Polymath Price Hits $0.14 Following Major Gains appeared first on NullTX.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Disclaimer: Trading in bitcoins or other digital currencies carries a high level of risk and can result in the total loss of the invested capital. theonlinetech.org does not provide investment advice, but only reflects its own opinion. Please ensure that if you trade or invest in bitcoins or other digital currencies (for example, investing in cloud mining services) you fully understand the risks involved! Please also note that some external links are affiliate links.