The cryptocurrency landscape in the United States has recently shifted significantly following a court ruling favoring the blockchain startup Ripple.
This verdict has established a new precedent, effectively asserting that Ripple’s digital token, XRP, is not inherently secure.
This crucial finding has paved the way for the company to regain its foothold in the American market, with anticipation building that US banks and other financial institutions will exhibit increased interest in adopting XRP for cross-border transactions.
Based in San Francisco, the forward-thinking firm anticipates initiating discussions with American financial organizations about the potential use of its On-Demand Liquidity (ODL) product in the third quarter.
This product, powered by XRP, is designed to facilitate money transfers seamlessly and rapidly. This prospect was brought to light during a recent interview with Ripple’s general counsel, Stu Alderoty.
The company’s newfound optimism stems from a transformative ruling by a New York judge. This judicial decree has shattered the arguments the US Securities and Exchange Commission (SEC) presented against Ripple, stating that XRP is not inherently a security.
For the past three years, Ripple has been embroiled in a legal tussle with the SEC over accusations that the company and two of its executives conducted an unlawful offering of securities worth $1.3 billion via sales of XRP.
Ripple has staunchly refuted these allegations, stating that XRP is more akin to a commodity than security.