- Summary:
- Ripple Labs is currently embroiled in a legal battle with the U.S. Securities and Exchange Commission (SEC).
Ripple is down by a percentage point in today’s trading session, extending last week’s 8 percent drop in value. For almost a month, Ripple has struggled in the markets and has dropped by 15 percent since the start of December. Part of the reason for the drop and struggle has been the project’s continued fight with SEC over whether XRP tokens are securities.
Updates about XRP Vs. SEC Case
Ripple Labs is currently embroiled in a legal battle with the U.S. Securities and Exchange Commission (SEC). The regulator filed a lawsuit against the company in December 2020, alleging that it and two of its executives, CEO Brad Garlinghouse and co-founder Christian Larsen, sold $1.3 billion in unregistered securities to investors. In April 2021, the two executives sought to have the individual lawsuits against them dismissed, but their motion was denied in March of this year.
Now, in a recent development, attorney Nicole Tatz has filed a motion to withdraw as counsel for Ripple CEO Brad Garlinghouse. Tatz is leaving the law firm Cleary Gottlieb Steen & Hamilton LLP, which is representing Garlinghouse in the case. All other parties remain involved in the lawsuit.
The case is currently in the process of briefing motions for summary judgment, with a verdict expected in early 2023. Ripple CEO Brad Garlinghouse has stated that he does not expect the case to go to trial and predicts a resolution in the first half of 2023. Members of the XRP community, which includes Ripple’s native cryptocurrency, are hoping for a favorable ruling.
In other news, Ripple has announced that it has extended the deadline for submissions to its Creator Fund, a program for talents such as musicians and fashion designers, until January 18, 2023. The Creator Fund is open to a variety of talents and is designed to support the creation and distribution of non-fungible tokens (NFTs).
The legal dispute between Ripple Labs and the SEC has attracted significant attention within the cryptocurrency industry and beyond. The outcome of the case could have significant implications for the broader cryptocurrency market and for Ripple’s native cryptocurrency, XRP. It remains to be seen how the case will ultimately be resolved, but it is likely to continue to be closely watched as it progresses.
Ripple Price Forecast
As I have always insisted, the current price struggle of RIpple may be partly due to its on-going case with SEC. Therefore, as long as the case is in progress, I expect Ripple price to continue struggling in the markets.
Therefore, my Ripple price forecast expects the prices to continue trading below the $0.35 price level for the next few sessions. There is a high likelihood that Ripple might drop to trade below the $0.30 price level. However, a trade above $0.35 will invalidate my forecast.
Daily Chart
