David

<p>The post <a rel="nofollow" href="https://coinpedia.org/news/ripples-influence-on-xrp-price-a-thrilling-insight-from-the-cto/">Ripple’s Influence on XRP Price: A Thrilling Insight from the CTO</a> appeared first on <a rel="nofollow" href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>In a thrilling exchange on Twitter, legal and crypto experts locked horns over the ongoing Ripple – SEC lawsuit, which has created much turbulence in the cryptocurrency industry.</p> 
<p>Retired securities lawyer Marc Fagel casts his view on the case, which hinges on whether investors expect profits from others’ efforts – a premise that the SEC is keen to exploit. His quip about the ‘unreasonable’ crypto investor, a community known to spend millions on monkey jpegs, adds a tart flavor to the debate.</p> 
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   <p lang="en" dir="ltr">2/ talking about an industry where people have spent millions of dollars for jpegs of ugly monkeys). The SEC's argument is that Ripple represented to investors that the company would generate value/profits for XRP, and that's legally sufficient; we'll see what the court says.</p>— Marc Fagel (@Marc_Fagel) <a href="https://twitter.com/Marc_Fagel/status/1672068791080202241?ref_src=twsrc%5Etfw">June 23, 2023</a>
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<h2 class="wp-block-heading" id="strong-ripple-s-cto-rattles-the-cage-unearthing-the-paradox-strong"><strong>Ripple’s CTO Rattles the Cage: Unearthing The Paradox</strong></h2> 
<p>Ripple’s CTO, David Schwartz, responded in a lengthy, impassioned tweet thread, drawing several analogies, including those of developers managing Home Owners Associations (HOAs) and sellers of limited edition items, to illustrate the mismatch between the SEC’s logic and the reality of token purchases.</p> 
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   <p lang="en" dir="ltr">What about the person who buys a piece of land from a developer reasonably expecting the developer to manage the HOA to increase the land value? The person who buys limited edition sneakers, plates, or prints relying on the seller's promise to keep the supply limited to…</p>— David "JoelKatz" Schwartz (@JoelKatz) <a href="https://twitter.com/JoelKatz/status/1672213269485080578?ref_src=twsrc%5Etfw">June 23, 2023</a>
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<p>Schwartz argued that in both cases, the buyers’ interests are put first, which is typical of security. But, he questioned whether that should apply to tokens like Ripple’s XRP.</p> 
<h2 class="wp-block-heading" id="h-ripple-efforts-don-t-necessarily-result-in-an-increase-in-xrp-s-price"><strong>Ripple Efforts Don’t Necessarily Result in an Increase in XRP’s Price</strong></h2> 
<p>Lawyer Bill Morgan argues that creating an expectation of profit is not merely about making a representation. It’s about crafting a psychological state in investors, a process that carries both objective and subjective elements.</p> 
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   <p lang="en" dir="ltr">It is surely not the test that merely making the representation is enough. There must be something that connects the fact of the making of a representation to the expectation which is a state of mind in investors. Such reasonable person tests in the common law tradition /1 <a href="https://t.co/IUCr2E0xls">https://t.co/IUCr2E0xls</a></p>— bill morgan (@Belisarius2020) <a href="https://twitter.com/Belisarius2020/status/1672201956465733633?ref_src=twsrc%5Etfw">June 23, 2023</a>
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<p>Morgan brings a fascinating perspective to the table: what if Ripple’s actions or statements don’t actually sway XRP’s price? If the price of XRP moves with the market, he posits, then the ‘expectation’ is a phantom, and the SEC’s premise might be resting on shaky ground.</p> 
<p>The outcome of the Ripple – SEC case could set a precedent for future cryptocurrency regulations. As such, the entire crypto community is waiting with bated breath for the final verdict. The Twitter wars, in the meantime, continue to fuel the debate and stir up the industry.</p>

Ripple’s Influence on XRP Price: A Thrilling Insight from the CTO

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