- Ripple’s Chief Legal Officer, Stuart Alderoty, highlighted XRP’s unique non-security classification in the U.S. during a CNBC interview.
- While countries like Singapore and the UK have clear crypto regulations, the U.S. faces challenges in establishing a consistent framework.
In a recent CNBC interview, Stuart Alderoty, the chief legal officer of Ripple, underscored the distinctive regulatory position of XRP in the United States. This follows a significant court ruling that classified XRP as a non-security, setting it apart from other digital assets.
Ripple’s Stuart Alderoty celebrated Ripple’s legal victory on July 13th, emphasizing that this verdict grants XRP unprecedented clarity in the U.S. He proudly stated, “XRP, as a digital token, is now uniquely classified as a non-security in the U.S.” This classification places XRP in a league of its own, alongside Bitcoin, as the only cryptocurrencies with this level of regulatory clarity acknowledged by SEC Chair Gary Gensler.
Why is XRP Unique?
XRP’s uniqueness lies in its focus on efficient transactions, catering to specific needs within the cryptocurrency ecosystem. Unlike Bitcoin, which serves as a store of value, and Ethereum, which powers smart contracts, XRP distinguishes itself by facilitating fast and cost-effective cross-border transactions.
Countries like Singapore, the UK, and Japan have established clear regulatory frameworks for cryptocurrencies, fostering innovation while maintaining oversight. However, the United States appears to be grappling with political issues, leading to a divergence from sound policy.
Future Trajectory Amidst Regulatory Turmoil
Despite the palpable victory for XRP, Alderoty accentuated his concerns about the broader issue of absent universal regulatory frameworks in the U.S. He advocated for a harmonious and rational approach to the classification and regulation of digital tokens, thereby not relegating such critical decisions solely to the outcomes of courtroom battles.
Though there have been vocal advocates for such a policy shift, Alderoty expressed skepticism about substantial progress materializing in the imminent Congressional sessions.
Simultaneously, the SEC, embroiled in a cascade of lawsuits regarding the “security status” of various digital assets, finds itself on treacherous terrain. The clarity that now enshrouds XRP, the only coin with such a clear-cut designation, paves the way for other digital assets to challenge the SEC’s perspectives and policies, laying down a path that could influence the future regulatory approach towards cryptocurrencies.
XRP Price Forecast
Currently trading at $0.483, XRP is edging closer to a critical juncture, nearing the support level established at $0.476. Until a week ago, this altcoin was on an upward trajectory, but it has since witnessed a significant downturn, registering a decrease of more than 10.7%. This decline terminated the previous uptrend and breached the psychologically significant $0.500 support threshold.
The Relative Strength Index (RSI) paints a bleak picture, firmly entrenched in the bearish territory and residing below the neutral 50.0 mark. This indicator strongly hints at the gathering bearish momentum, potentially prompting selling activity among investors. If this materializes, it could lead to further price depreciation.
At present, maintaining the $0.476 support level is paramount, as a failure to do so could precipitate XRP’s descent to a three-month low of $0.450, a level not seen since Ripple last ventured there in July.
Influencer Crypto Assets Guy advises a cautious outlook, suggesting a potential new all-time high for XRP, possibly around $3.70, late this year or in 2024. This pragmatic perspective comes as many in the XRP community grow weary of overblown forecasts.
For instance, a recent prediction by Wells Fargo of XRP hitting $100 to $500 within 2 to 7 months left some feeling skeptical. It’s time to rein in those hopes and embrace a dose of realism.
