XRP Lawsuit News: U.S. Securities and Exchange Commission (SEC) finally came to a settlement over calling a crypto token a “Security”. As per sources, the SEC during the latest hearing of the LBRY lawsuit on record admitted that the token itself is not a security. However, the affirmation comes after the commission received the summary judgment in its favor.
Good news for XRP holders?
The latest hearing in the LBRY Vs SEC lawsuit turned out to be, as expected, good news for the entire crypto community, especially for XRP holders. The US district court heard the oral arguments on the application of remedies. John Deaton, Amicus Curiae in the XRP lawsuit also submitted an amicus brief in the LBRY case.
As per details, the Judge had to decide whether a crypto asset that allows the owner to send instructions to a network can embody an investment scheme by a company. While the commission wanted the judge to issue a broad injunction against the sale of the LBRY token in which the token itself becomes the security. Read More XRP Lawsuit News Here….
What did the judge said?
Eleanor Terrett, a Fox Business journalist reported that the SEC lawyer involved in the LBRY lawsuit conceded on the record that the secondary market sales of LBC tokens do not constitute a security. While Attorney stated that the judge talked about an article while he forced the commission to commit on record.
As expected, Judge ruled that the secondary market transactions of LBRY tokens by people unaffiliated with no investment intent in the LBRY case are legal. This could directly set a precedent for the XRP holders in the long running XRP lawsuit.