Ripple has faced a legal hurdle in its ongoing battle with the U.S. Securities and Exchange Commission (SEC) over the classification of its cryptocurrency XRP. The court ruled that XRP tokens do not meet the requirements of an investment contract, thus not deeming it a security. Ripple plans to file cross-appeals if the SEC’s interim appeal is approved, challenging the court’s judgment on institutional sales of XRP and post-lawsuit sales of XRP to On-Demand Liquidity customers. However, there is skepticism about the SEC’s motivations, with XRP lawyer John Deaton suggesting that the SEC lacks allegiance to the law.
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