XRP jumps 15% — Ripple came out victorious
Ripple took an important victory in the case against the US Securities and Exchange Commission (SEC).
The SEC will not be able to review the advice received by the company regarding the status of the XRP token.
Judge Sarah Netburn rejected the SEC's request for access to the records of legal advice received by Ripple regarding the legal status of the XRP token. According to the regulator, the lawyers could have notified Ripple that XRP has the characteristics of a security, even before the start of the tokensale.
On May 7, the SEC applied to the court for a permit. According to the agency, the actions of the regulator in more than 70 similar cases against other cryptocurrency companies were sufficient for Ripple to make a correct conclusion about the status of the supported asset.
"Ripple claims that the information requested by the SEC is protected by attorney-client privilege. The court does not reject this claim, " Judge Sarah Netburn said in a published document.
Crypto lawyer Jeremy Hogan considers this decision "very important". It allows the company to follow the line that it did not receive notifications about the possibility of recognizing XRP as a security, while the SEC, which expected to use the opposite argument in its favor, will not be able to do so.
Last week, the head of Ripple, Brad Garlinghouse, confirmed that the company plans to go public after the completion of the trial with the SEC.
Brad Garlinghouse's statements about the IPO mean waiting for a positive outcome of the trial with the regulator.
According to some experts, information about the settlement of the dispute between Ripple and the SEC may appear in the near future, which will give an impetus to the growth of the XRP token.