XRP lawyer Bill Morgan suggests Ripple is unlikely to promote XRP like Bitcoin, as such efforts could affect its legal battle with the SEC. He emphasized that Ripple’s approach to XRP differs due to regulatory concerns.
Bill Morgan, an attorney for XRP, has elucidated the reasons why it is improbable that Ripple will promote XRP in the same manner as Bitcoin. The comments were made in response to a suggestion that Ripple could increase the popularity of XRP among retail investors by participating in promotional activities that are comparable to those of Bitcoin and other cryptocurrencies.
Bill Morgan observed that Ripple’s ongoing legal dispute with the U.S. Securities and Exchange Commission (SEC) could be affected by such actions.
XRP Lawyer On Why Ripple Unlikely To Promote X
XRP Lawyer Bill Morgan has emphasized that Ripple’s cautious approach to promoting XRP is primarily influenced by its ongoing legal battles with the SEC. This is due to the fact that Ripple is unlikely to promote XRP. He noted that the court determined that Ripple’s sales of XRP did not satisfy the Howey Test, a legal standard that is employed to ascertain whether an asset qualifies as a security.
Specifically, the court determined that Ripple’s programmatic sales of XRP to retail holders did not qualify as investment contracts. Morgan attributes this decision to the “relative lack of evidence of promotion of XRP to retail holders.”
Nevertheless, Ripple continues to be the subject of scrutiny, and the SEC is currently in the process of appealing this ruling. As a consequence, Ripple may face increased regulatory risks as a result of any promotional initiatives that target retail investors.
Morgan underscored the company’s cautious posture in the face of regulatory uncertainty, stating, “I doubt Ripple will ever [promote XRP] and certainly not before legal proceedings are long in the rearview mirror.”
Bitcoin has a Regulatory Benefits
Bill Morgan, an attorney for XRP, has drawn a comparison between the promotional restrictions on XRP and those on Bitcoin. He has observed that Bitcoin proprietors and advocates are able to freely promote the cryptocurrency without the interference of the SEC. Bitcoin does not encounter the same regulatory challenges that other digital assets, such as XRP, do, as it is widely recognized as a non-security asset.
This provides Bitcoin with a distinctive advantage, as supporters can openly promote investments in Bitcoin without fear of legal repercussions.
Morgan noted that the regulatory treatment disparity has resulted in a “unfair SEC-created advantage over the entire market.” This discrepancy has enabled Bitcoin’s adoption to thrive without the legal complications encountered by XRP and other assets.
The disparity in regulatory supervision between Bitcoin and other cryptocurrencies has become even more apparent as Bitcoin’s price recently surged past $89,000 amid heightened interest from retail and institutional investors.
Simultaneously, Cardano’s ADA token experienced substantial gains following Charles Hoskinson’s announcement, increasing by more than 33% amid speculation regarding its potential influence on U.S. crypto policy during the current Trump administration.
Ongoing Legal Developments in the SEC v. Ripple Case
The cryptocurrency industry has closely monitored the SEC’s appeal in the Ripple case, as it has the potential to establish precedents for the treatment of digital assets. The SEC is obligated to submit its opening brief for the appeal by January 15, 2025, in accordance with a scheduling order issued by the U.S. Court of Appeals for the Second Circuit.
This delay may be associated with the potential impact of the impending U.S. presidential election, as analysts have suggested that a change in administration could result in changes in regulatory priorities.
The appeal could be dismissed if the SEC fails to satisfy this deadline, which could potentially provide Ripple with a more transparent regulatory pathway. However, legal experts anticipate that Ripple will continue to pursue a cautious approach to XRP promotion until the appeal is resolved.
Ripple CEO Brad Garlinghouse Optimistic Amid XRP Price Surge
The XRP community has demonstrated a resurgence of optimism regarding the cryptocurrency’s future, despite Ripple’s cautious posture. The price of XRP has recently surmounted $0.61, which has sparked speculation about the possibility of a price rally indicative of the highs reached in 2017.
Brad Garlinghouse, the CEO of Ripple, recently stated that XRP was once the “second most valuable digital asset.” Some community members are optimistic that the token may regain its former value as regulatory clarification improves.
Other factors are also contributing to the positive market sentiment surrounding XRP, such as the potential approval of an XRP exchange-traded fund (ETF) in the United States, which could potentially increase institutional interest in the asset.