- Ripple might have gained yet another edge over the SEC after a U.S. DOJ branded digital currencies as commodities.
- Ripple (XRP) is still poised for a promising run in 2023, despite an ongoing court case.
Ripple might have just recorded a game-changing milestone, following the recent statements made by a U.S. Department of Justice, Judge Analisa Torres. If Judge Torres’ statements are cited by Ripple’s lawyers, it could make a case for Ripple in the long term.
On the 27th of December, Avraham Eisenberg, a cryptocurrency trader, was arrested. Eisenberg was accused of attacking the Mango Markets exchange.
His involvement in the exploitation caused the exchange to lose a staggering $110 million. The U.S. Department of Justice lawyers are labeling the two cryptocurrencies involved in the exploitation, as “commodities.”
Throughout the progression of the indictment, the DOJ maintains that neither MNGO, nor CRV, is security. It categorizes both tokens as commodities on many different occasions.
looks like the Department of Justice is calling MNGO and/or CRV commodities (and not securities)!!!! pic.twitter.com/ZklOlubR8u
— scott🍈 (@scott_lew_is) December 27, 2022
The classification of both assets as commodities might be favorable for Ripple. In its case against the SEC, which refers to the XRP as a security, citations of the DOJ saying otherwise might hold weight for Ripple.
If Ripple’s lawyers were to put the DOJ’s statement into play, they might argue that the SEC should backtrack on its strict labeling of the XRP. If the DOJ can categorize the aforementioned tokens as commodities, the lawyers might appeal for Ripple (XRP) might also be considered as anything but a security.
The future of the case remains unknown, but Ripple continues to hit new milestones
Notably, the court in which the SEC vs Ripple case is currently being held at, is the same court behind the document filings for Avraham Eisenberg’s indictment.
Meanwhile, in response, pushing back on the excitement that followed the recent update, Delphi Labs’ Gabriel Shapiro insists that the development is not bullish in anyway.
He goes over this in a tweet, saying:
“the fact that the case doesn’t characterize the relevant tokens as securities is not in any way bullish/positive and merely arises from litigation strategy–the fewer predicate issues the govt has to litigate in its case, the better.”
Nonetheless, Ripple continues to thrive as a Blockchain, despite its lingering court case with the SEC. Per recent reports, Ripple is set to be partnering with Palau, to launch a national stablecoin for the country.
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This one is amongst a handful of partnerships that the Ripple network has secured in 2022 alone. In the years to come, Ripple’s adoption across the globe could continue to soar.
Meanwhile, at press time, Ripple (XRP) is up 0.22 percent in the last 1 hour. The Altcoin is among few others recording daily gains. XRP’s price value is currently at $0.34, although its 24-hour price decline is over 4 percent.
