XRP can be a security after all, says new court record

Discontented XRP investors have failed to convince lawmakers that Ripple is selling cryptocurrency as an unregistered security, but that this may be about to change as a result of a new California lawsuit. This time around, investors who expect Ripple to run are using the latest US Security and Exchange Commission guidelines on digital assets.

Investors file a new complaint against Ripple

Several XRP investors filed an amended claim against Ripple in California for allegedly selling unregistered security chips – a claim that Ripple categorically rejected. The amended complaint is based on the SEC's "Framework for Analyzing Digital Asset Investment Contracts" published in April.

As Coindesk points out, the case against Ripple is probably the first to rely on the SEC's new guidance, which could affect the proceedings. The original complaint is more than a year old. Ripple has until next month to issue a formal answer.

Ripple CEO Brad Garlinghouse has convincingly argued that XRP is not and has always been a security. In June 28, he gave three reasons why this is the case:

1. "If Ripple as a business closes tomorrow, the XRP book would continue to work."
2. "If you buy XRP, you do not buy Ripple shares."
3. "XRP solves a problem. There is no security in a utility. "

Lily: Three reasons why XRP is not a security: Ripple's Garlinghouse

XRP is a scam: Tone Vays

Tone Vays, a cryptocurrency trader and trader, believes the SEC will tackle Ripple and his XRP "scam" badly.

"The SEC brings Thor's Hammer," said Vays tweeted last week in response to the amended complaint. He took a shot at the XRP community, calling it "the army of brain death".

XRP is one of the most vocal supporter groups among all cryptographic systems and they firmly believe that Ripple's technology will revolutionize the payments landscape. We are talking about disruption of the SWIFT banking system as soon as XRP technology reaches critical mass.

XRP circles $ 0.28

The XRP price rose sharply at the start of Asian trading, but remained below its previous long-term support. The third largest market capitalization cryptocurrency amounted to $ 0.2885, according to CoinMarketCap. It remains above $ 0.28, after gaining 6%.

At current values, XRP's total market capitalization is just under $ 12.1 billion. Trade volumes were valued at $ 1.2 billion.

XRP has fallen behind all of its large-cap peers for most of 2o19. Since its peak north of 0.50 dollar at the end of June, cryptocurrency has dropped by 42%. It's one of the only big cryptocurrency currencies to record losses this year.

Last week, the XRP fell below $ 0.30 for the second time since April, according to the CoinMarketCap charts. The 30-cent margin had already been an important support even when bullish momentum was limited.

Disclaimer: The author is the owner of Bitcoin, Ethereum and other crypto-currencies. He holds investment positions in coins, but does not engage in short-term or day trading.

The selected image is a courtesy of Shutterstock. Chart via CoinMarketCap.