{"id":13168,"date":"2018-06-15T10:26:45","date_gmt":"2018-06-15T09:26:45","guid":{"rendered":"https:\/\/ethereumworldnews.com\/?p=13168"},"modified":"2018-06-15T10:28:01","modified_gmt":"2018-06-15T09:28:01","slug":"here-is-why-ripple-xrp-is-also-not-a-security","status":"publish","type":"post","link":"https:\/\/ethereumworldnews.com\/here-is-why-ripple-xrp-is-also-not-a-security\/","title":{"rendered":"Here Is Why Ripple (XRP) Is Also Not a Security"},"content":{"rendered":"
The Crypto-verse is elated after the Director of The SEC’s Division of Corporate Finance, William Hinman, said that Ethereum (ETH) is not a security<\/a> based on how it is structured in a decentralized manner. Mr. Hinman said that:<\/p>\n When we think about how Ether today is operating, at least, we see a highly decentralized network, not the type of centralized actor that characterizes securities offerings. In its current state, we don\u2019t see value regulating it.<\/p>\n<\/blockquote>\n ETH joins Bitcoin (BTC) as the only two coins the SEC has openly excluded from being classified as securities.\u00a0This then brings us back to the other discussion as to whether Ripple (XRP) fits the bill of being classified as a security.<\/p>\n There is also a pending Lawsuit<\/a> against Ripple that was filed by a disgruntled trader. The plaintiff in the lawsuit, purchased 650 XRP on January 5th and later sold the entire amount on January 18th sustaining a 30% loss due to XRP dipping in value during the same period. The plaintiff claims that he did not expect to lose money due to the promotional practices of Ripple’s parent company.<\/p>\n In response to the above lawsuit claim, Brad Garlinghouse responded via an interview with<\/a> CNBC that:<\/p>\n Whether or not XRP is a security shall not be dictated by one lawsuit. The SEC is the governor of that. I think it is very clear that XRP is not a security. It exists independently of Ripple the company. If Ripple, the company shut down tomorrow, XRP will continue to exist.<\/p>\n<\/blockquote>\n\n
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