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 In a critical development for the crypto industry, Ripple Labs, the company behind the cryptocurrency, received a mixed verdict from US District Judge Analisa Torres. 
 The judgment brought some closure to Ripple's legal battle with the U.S. Securities and Exchange Commission (SEC), which has cast a long shadow over the digital currency's future since December 2020. 
 According to the summary judgment, Judge Torres deemed institutional sales by Ripple as securities. However, she refrained from labeling all other sales in the same way. 
 The decision sent a positive ripple through the crypto market as it avoided classifying XRP, the sixth-largest digital token by market value, as a security in its entirety. Attorney Drew Hinkes tweeted, "Looks like institutional sales were sales of a security, but other sales were not." 
 The court did not address secondary market sales of XRP, indicating the complexity of determining such sales as offers and sales of investment contracts. Such determinations would depend on the totality of circumstances and the economic reality of that specific contract, transaction, or scheme.&nbsp; 
 Adam Cochran, a crypto industry commentator, has shared his analysis of the recent Ripple lawsuit update. He believes it is mostly positive news for Ripple and all altcoins. The judge's decision determined that institutional sales and fundraising were indeed securities, but programmatic sales on exchanges did not meet the third prong of the Howey Test, indicating they were not securities. 
 Cochran added that other operations involving XRP, like bounties, investments, grants, and transfers to executives, were also not considered securities. This verdict, he asserts, represents a significant win for XRP, given its centralized foundation, key figureheads, standard sales via exchanges, and formal distribution programs. 
 The summary of the case, according to Cochran, advises against institutional private rounds and OTC, encouraging sales via exchanges and native protocol distribution instead. He also noted that if XRP is not viewed as a security, then neither BTC or ETH should be, potentially influencing the approval of ETFs in the future. 
 Following the ruling, the price of XRP surged by 16.5% to $0.552927, adding roughly $4 billion to its market cap, which now stands at $28.8 billion.
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Major Ripple vs. SEC Update: XRP Explodes 16% as Judge Torres Delivers Pivotal Summary Judgment Verdict

U_Today

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