Ripple Price Rises to a Three-Year High, Surging 67 Percent
The Ripple price, on Apr 6, soared to a new 2021 high, reaching $1.10 as XRP bulls interpreted the latest tranche of documents from the U.S. SEC as a "small" win for the blockchain payments company. At the back of this, the XRP price surged 67 percent week-to-date, only to retrace back to below $1 but enough to thrust the XRP valuation to the top-5. As of writing on Apr 8, the XRP market cap stands at over $39 billion with XRP buyers in charge.
Regulatory clarity is a critical element in banking, a sphere Ripple wants to disrupt. Ripple is distinct, with a majority holding on XRP coins issued by Ripple Labs. They have a decentralization plan where they would gradually ensure their tokens are disbursed while diffusing control of its XRPL nodes to third parties. However, the U.S. SEC is not convinced, blasting them with a lawsuit on Dec 22, alleging that they crowdfunded, raising $1.9 billion by selling illegal securities. Ripple lawyers' request for documents that guided the SEC's examination and classification of ETH and BTC as utilities was granted on Apr 6.
Impact on the XRP Price:
Bullish. If the SEC loses this case, XRP will be classified as a utility in the U.S. Therefore, it would attract more payment processors and financial institutions, adopting its On-Demand Liquidity (ODL) solution. It will be a net positive for XRP/USD prices.
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