The crypto market has broadly retraced its momentary gains since the start of the week on Tuesday, though XRP has managed to retain some bullish momentum.
Part of the reason is due to a major court ruling regarding the Securities and Exchange Commission (SEC)’s lawsuit against Binance, which Ripple has now leveraged in its ongoing battle with the regulator.
- In a letter to Judge Analisa Torres, Ripple’s legal counsel Michael Kellogg argued that the recent Binance ruling supports Ripple’s case that its illegal sales of XRP do not warrant “harsh remedies” as the SEC claims.
- Last week, Judge Amy Berman Jackson dismissed SEC claims that secondary market sales of Binance’s BNB token constituted securities transactions.
- The dismissal specifically called out the SEC for its decision to “oversee this billion dollar industry through litigation” as being “inefficient” and leaving relevant parties “without clear guidance.”
- This observation supports Ripple’s argument that providing clarity on the legality of the different types of sales of XRP was the most significant aspect of the Court’s summary judgment decision,” Ripple said.
- After Torres ruled on Ripple roughly one year ago, XRP surged roughly 70% in one day, and was relisted across multiple major exchanges. The lawsuit also became a pivotal reference point for the crypto industry in its ongoing battles with the SEC on whether other crypto assets or sales were qualified as unregistered securities.
- Bitcoin traded down 2.1% on Tuesday while Ethereum fell 1.4%. By contrast, assets within the SEC’s crosshairs – including XRP and Solana (SOL) – rose 1.2% and 3.4% respectively.
