Future Prospects of XRP: An Examination
At long last, XRP investors can rejoice as the much-anticipated storm brewing between them and the SEC comes to an end. Brad Garlinghouse, Ripple's CEO, dropped a bombshell confirmation that the U.S. Securities and Exchange Commission (SEC) is leaving the XRP legal battle behind them. This announcement sent XRP skyrocketing by a whopping 10%, adding to its impressive 300%+ growth over the previous six months, thanks to several significant factors.
A Brief Rundown of the Legal Tussle
TheSEC vs. Ripple case dates back to December 2020, when the SEC took Ripple Labs to court, accusing them of conducting an unregistered securities offering by selling XRP tokens. The SEC claimed XRP was a security, but Ripple begs to differ–they see it as a digital currency.
Key Milestones
- July 2023: A federal judge ruled that Ripple's sales to retail investors were not a violation of securities laws. Institutional sales, however, were deemed to be in violation of these laws.
- October 2023: The SEC dropped charges against Ripple's CEO, Brad Garlinghouse, and Executive Chairman, Chris Larsen.
- October 2024: The SEC filed an appeal against the July 2023 ruling, challenging the court's interpretation of XRP sales to retail investors.
- March 2025: Ripple announced the SEC had abandoned its appeal, bringing an end to the dispute.
The Road Ahead for XRP
So, what's next for XRP's price? We anticipate short-term upward momentum, given the legal hurdle has been cleared. The probability of the SEC approving spot XRP exchange-traded funds (ETFs) has seen a significant boost, which could serve as an additional driver for XRP's value.
Beyond ETFs, Ripple's growth is underpinned by its superior technology and rising institutional adoption. The XRP Ledger outpaces traditional systems like SWIFT, offering speed, security, and cost-effectiveness for global transactions. Integrating Ripple's technology into banking infrastructure will boost liquidity and utility, resulting in increased XRP demand. Ripple's long-term growth prospects are fortified by ongoing technological advancements, strategic partnerships, and global expansion, further solidified by XRP's inclusion in Trump's strategic cryptocurrency reserve.
On a side note, the NCAA March Madness saw only 3% of brackets remaining perfect on the first day of the tournament, while Ukraine delivered three strikes against Russia's Engels Bomber Base and Trump's presidency made headlines regarding student loans.
And if you're not overly fond of the rollercoaster ride accompanying cryptocurrencies, consider Trefis' High Quality (HQ) Portfolio, a collection of 30 stocks with a track record of outperforming the S&P 500 over the past four years. Why? The HQ Portfolio provides better returns with less risk compared to the benchmark index, making for a smoother investment experience.
Ready to invest with Trefis? Check them out today!
Market Beating Portfolios | Rules-Based Wealth
- Today, the XRP price surged by 10% following Brad Garlinghouse's confirmation that the SEC is no longer pursuing the XRP legal battle, marking a significant victory for XRP investors.
- As the SEC's decision to abandon the appeal against Ripple signifies an end to the legal dispute, XRP securities investors might anticipate further upside in the short term, given the cleared legal hurdle.
- In the future, the probability of the SEC approving spot XRP exchange-traded funds (ETFs) has significantly increased, further fueling the potential growth in XRP value.
