[ad_1]
 
 
Talk of resilience and you can’t help thinking of XRP. Since the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple on 22nd December 2020, it has been a rough ride for investors and traders looking to capitalize on its movements.
The SEC brought this suit against Ripple and two of its top executives, claiming that the team had illegally raised over $1.3 Billion through an unregistered digital asset offering. Since then, it has been a push and pulls in between the two in a heated court battle.
Surprisingly, the price of XRP has remained relatively intact in comparison to other coins which have died, naturally signaling investor confidence and hope in the team winning the court case. However, the recent plunge in digital assets, especially Bitcoin, coupled with the ongoing suit has dealt a big blow to XRP’s price which has dropped by about 73% since 12th April and is now in the $0.60-$0.75 range.
Whereas ninety-six percent of all SEC cases are settled before trial, that is; before the litigation stage or during discovery, the recent developments where the Judge pushed the discovery within 60 days are proving more detrimental to investors who want this issue dealt over with before the next bull run.
Attorney Hogan commenting on the suit believes that a failed settlement in June could see it pushed to September or in a worst-case scenario, early January 2022 since the court has to first dispense away with the discovery of the facts. He further opines that if the court rules in favor of XRP, it will have gone against its own dictum in the Howey Test case.
 
 
Options for Ripple if it loses SEC case
There is the possibility of a settlement but if this fails, there are available options. First, the court may fine Ripple and allow it to continue operations which would be a great relief to investors and a big win for XRP. Secondly, should Ripple be found culpable and get a ban by SEC, this will mean that it would have to shut down its operations in the U.S.A and this could see XRP’s price crash to near zero, the team could also leave the U.S.A to register the company in another country and continue its operations. This should at least cushion XRP from losing value.
Unless there is a decision to ban Ripple by the SEC, XRP’s price is likely to remain intact and even surge once Bitcoin resumes another bull run. It is expected that as long as Bitcoin remains in the range it is in at the moment, XRP will also remain stable. This is a big plus for XRP since it gives more time for a settlement to be reached before the next Bull Run!
[ad_2]
