Talk about resilience and you can't help but think about XRP. Since the US Securities and Exchange Commission (SEC) filed a lawsuit against Ripple on December 22, 2020, it has been a rough road for investors and traders looking to capitalize on its moves.
The SEC filed this lawsuit against Ripple and two of its top executives, alleging that the team had illegally raised more than $ 1.3 billion through an offering of unregistered digital assets. Since then, he has been a shove and comes between the two in a heated court battle.
Surprisingly, the price of XRP has remained relatively intact compared to other coins that have died, which naturally indicates the confidence and hope of investors that the team will win the court case. However, the recent decline in digital assets, especially Bitcoin, coupled with ongoing demand has dealt a major blow to the price of XRP which has declined by around 73% since April 12 and is now in the range of $ 0.60- $ 0.75.
Whereas ninety-six percent of all SEC cases are resolved prior to trial, that is; Before the litigation stage or during discovery, recent events where the judge pushed for discovery within 60 days are proving more detrimental to investors who want this issue resolved before the next bull run.
Attorney Hogan, commenting on the lawsuit, believes that a failed settlement in June could lead to September, or worst-case scenario, early January 2022, as the court first has to dispense with discovery of the facts. . In addition, he is of the opinion that if the court rules in favor of XRP, it will have gone against its own ruling in the Howey Test case.
Options for Ripple if it loses the SEC case
There is the possibility of an agreement, but if this fails, there are options available. First, the court can fine Ripple and allow it to continue operations, which would be a huge relief for investors and a huge win for XRP. Second, if Ripple was found guilty and the SEC banned it, this would mean that it would have to shut down its operations in the US And this could cause the price of XRP to drop almost to zero, the team could also leave the EE. .UU. To register the company in another country and continue its operations. This should at least prevent XRP from losing value.
Unless the SEC makes the decision to ban Ripple, the price of XRP is likely to remain intact and even rise once Bitcoin resumes another bull run. As long as Bitcoin remains in the range it is in at the moment, XRP is expected to remain stable as well. This is a huge advantage for XRP as it gives you more time to reach a deal before the next bull run!