Coinbase, KrakenPro, and Crypto dot com are some of the crypto exchanges that reopened trading for XRP after a partial ruling in Ripple’s favor.
Winklevoss-founded platform Gemini also said it is mulling listing Ripple’s coin for spot and derivatives trading pairs.
Judge Analisa Torres ruled that Ripple’s tokens sold on exchange did not constitute an investment contract and therefore, are not securities.
The ruling added that XRP sales to institutional buyers were unregistered securities offering and a court date will be set for trial.
XRP, the native token of digital remittance provider Ripple, has recorded staggering gains in the last 24 hours following a ruling about the token’s status as a security.
Ripple achieved a crucial legal victory as Judge Analisa Torres from New York ruled that XRP sold to retail users on crypto exchanges should not be classified as an investment contract. Coinbase, America’s largest crypto trading venue, swiftly reopened trading for Ripple’s token on Thursday shortly after the news broke.
Following the court’s ruling, prominent exchanges such as Crypto.com and Kraken Pro wasted no time in announcing the resumption of XRP trading, following in Coinbase’s footsteps. Gemini is also considering listing the coin in spot and derivatives pairs, said co-founder Cameron Winklevoss.
The price of XRP exploded after the ruling, recording massive gains for holders. At press time, the token was up over 68%. Coingecko data showed that XRP’s daily trading volume lept from around $600 million to over $11 billion between July 13 and July 14.
XRP Holder In Euphoria As SEC vs Ripple Goes To Trial
The ruling issued by Judge Analisa Torres constitutes a partial win for both Ripple and the U.S. Securities and Exchange Commission.
According to court documents, Judge Torres ruled that Ripple’s tokens sold on exchanges to retail customers do not qualify as an investment contract and is therefore not a security. While this has paved the path for Ripple token’s token to resume trading on crypto exchanges like Coinbase, and perhaps beacons hope for other cryptos like SOL, ADA, and MATIC that were labeled as securities by the SEC, the same cannot be said for institutional sales.
Indeed, the ruling in New York said that Ripple’s token sales to institutional buyers qualified as unregistered securities offerings.