Ripple news today is that the US-based company is edging closer to a verdict in its battle against the US Securities and Exchange Commission (SEC). This follows the release of documents related to a speech by former SEC official William Hinman, which was delivered in June 2018. The price of XRP, the native Ripple cryptocurrency that the SEC alleges is a security in a lawsuit filed in 2020, rose more than 8% to above $0.55.
In the speech, Hinman commented that Bitcoin (BTC) and Ethereum (ETH) were not securities. However, the SEC had sued Ripple Labs in December 2020, alleging that the company illegally sold unregistered securities in the form of its XRP token.
Ripple’s Chief Legal Officer Stuart Alderoty commented on the release of the files, tweeting: “It’s been 5 years since Bill Hinman gave his infamous speech – and through the SEC’s lawsuit against @Ripple (and 7 court orders), we can finally share what happened behind the scenes through the now public emails / drafts of the speech.”
On Hinman’s comments, Ripple’s legal chief stated the ex-SEC official ignored warnings about his remarks and that he included “made up analysis with no basis in law.” Alderoty added, “We now can all see Hinman ignored multiple warnings that his speech contained made-up analysis with no basis in law, was divorced from the Howey factors, exposed regulatory gaps, and would create not just confusion, but “greater confusion” in the market.”
It is these statements that are now at the center of Ripple’s defense, with the company having maintained since December 2020 that XRP is not a security. The belief that the SEC is losing this case is the reason the community’s sentiment has become so upbeat in recent weeks.
