The U.S. Securities and Exchange Commission (SEC) has appealed a federal judge’s decision regarding the sale of XRP through exchanges and possible securities law violations by Ripple. The appeal challenges legal determinations about investment contracts and could set a significant precedent. However, the SEC clarified that their contention does not label XRP as a security, as they view it as computer code. Ripple has until September 1, 2023, to respond to the SEC’s motion, and if approved, the case will be reviewed by the Second Circuit Court of Appeals. The uncertainty caused by this legal battle, along with other market pressures, has led to a decline in the price of XRP.
AI Sentiment: Negative