Rumors about Ripple’s legal battle with the Securities and Exchange Commission (SEC) are continuously spreading in the crypto market. Input Output (IOHK) CEO Charles Hoskinson reacted to David Gokhshtein’s tweet for spreading misinformation on the Ripple case hearing. The cryptocurrency influencer David tweeted that Ripple’s case will “apparently” settle by December 15.
The Cardano founder warned that the result of the long battle between the SEC and Ripple would have a “catastrophic” impact on the crypto market. “Stop spreading fake news. I said I heard rumors. This is not the same as believe,” Hoskinson tweeted.
If the SEC wins the case against Ripple, XRP will be considered as a security rather than a coin or a token. It follows that similar cryptocurrencies will be considered securities as well. So the hearing will be important to all digital asset shareholders, including blockchain developers and investors.
January Walker, the former US congressional candidate, recently tweeted about the Ripple case. She said, “if Ripple settles it will be a loss for the whole world and Web 3.”
“The world follows the actions of the USA, and how the government handles one of us, sets precedence for how they handle all of us. Instead of battling against each other claiming one group is better than another we need to work together for the right legislation,” Walker added.
An Endless Battle Between SEC And Ripple
Almost two years have passed since the SEC filed a lawsuit against Ripple Labs. The financial watchdog sued Ripple Labs Inc at the end of 2020 for marketing XRP tokens on its platform. The SEC stated that it comes under unregistered securities.
As per the complaint, it stated that “in addition to promoting and structuring the XRP sales used to finance the company’s business, Lardsen and Garlinghouse also affected personal unregistered sales of XRP with a worth of $600 million. The company alleges that defendants failed to register their offers and sales of XRP.”
As per The Coin Republic, If the court rules in favor of Ripple, it will give a boost to innovation in blockchain technology platforms. It might ease regulations in the US for the development of blockchains. If the decision goes against Ripple, it will lead investors to show less interest in the development of the crypto ecosystem.
Recently David Schwartz, Ripple CTO, cautioned XRP holders about the recent phishing scam that attacked the users using a fake Ripple website. Apparently, the attackers promised the users to provide XRP staking with high returns.
On December 10, 2022, Schwartz warned about the fake Ripple website on Twitter. As per the tweet, the scammers sent a mail stating that “Ripple Labs Co., announced a new premium feature that offers incentive premium and high ROI, from 16% to 31%, with a secured fund of over five billion XRP.”
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2022/12/13/input-output-ceo-on-spreading-fake-news-about-ripples-legal-battle-with-sec/