Most XRP Sales Are Not Securities Under the Howey Test: Crypto Law
Crypto Law has said that most XRP sales in Bid/Ask transactions on anonymous exchanges were not securities under the Howey Test. Crypto Law made the statement in response to Charles Gasparino, senior correspondent at FOX, who criticized the judgment of Judge Analisa Torres of the Southern District of New York in the case of Ripple vs. the U.S. Securities and Exchange Commission (SEC).
The baby was not split. The baby is not a security.
Blind bid/ask transactions on an anonymous exchange (vast majority of XRP sales in the case) are not securities under Howey. That’s 75+yrs of case law speaking.
What case law are the unnamed laughers at SDNY citing? https://t.co/t7xmtBOPrH
— CryptoLaw (@CryptoLawUS) November 16, 2023
According to Gasparino, Ripple did not win the case. He believes the actual winners from Judge Torres’ judgment are the retail XRP holders after sarcastically describing the ruling as a “split the baby” decision by the U.S. judge.
Bill Morgan, another famous lawyer in the crypto space, disagreed with Gasparino’s position. He told the senior correspondent that there was no lawyer who thought it was not a good result for Ripple. According to Morgan, the decision was split, but Ripple got the better of it and won the key legal issue because the judge distinguished the token from the scheme, transaction, or contract and found that XRP wasn’t a security.
One member of the crypto community on X, identified as ZERP, insinuated that XRP would flip ETH. ZERP recounted those who predicted that Ripple would not win the lawsuit against the SEC and the previous allegation that XRP is an unregistered security.
Following Crypto Law’s response to Gasparino, most respondents seemed to agree. One noted his suspicion that the FOX correspondent had been paid to twist the facts, while another accused him of losing credibility and working under instruction.
TradingView data shows that XRP rose to $0.74876 on November 13. The price has retraced, and XRP traded for $0.61700 at the time of writing.
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