- XRP experiences a slight pullback as investors await the SEC’s reply brief on May 6 in its ongoing case against Ripple.
- The content of the brief will shed light on the strength of the SEC’s case and could potentially impact XRP’s market performance.
- Any injunction prohibiting Ripple from selling XRP to institutional investors could significantly affect Ripple’s U.S. market plans and investor sentiment.
The SEC’s upcoming reply brief in its case against Ripple is causing a stir among XRP investors. The outcome could potentially impact Ripple’s U.S. market plans and XRP’s market performance.
Anticipation Builds for SEC’s Reply Brief
Investors are eagerly awaiting the U.S. Securities and Exchange Commission’s (SEC) reply brief in its ongoing case against Ripple, expected to be filed on May 6. The brief will follow a series of filings between the SEC and Ripple, which began with the SEC’s opening brief in March. The commission is pressing for a punitive penalty and an injunction against Ripple, alleging that the company breached U.S. Securities laws following a complaint in December 2020.
Ripple’s Response to SEC’s Allegations
In response to the SEC’s remedy-related opening brief, Ripple filed an opposition brief to counter the allegations. The fintech firm asked the court to strike the SEC’s filing, citing irregularities and lateness in the brief filing. Ripple also argued that its post-complaint XRP sales to accredited investors through ODL agreements did not constitute an infraction.
Potential Impact on XRP and Ripple’s U.S. Market Plans
The upcoming SEC reply brief is being closely watched by crypto investors, particularly the Ripple community. The brief’s content will provide information on the strength of the SEC’s case for a punitive penalty and injunction on Ripple. Should the SEC provide substantive evidence for its claim that XRP breached the law after the December 2020 complaint, XRP could come under selling pressure. An injunction prohibiting Ripple from selling XRP to institutional investors would significantly affect Ripple’s plans for the U.S. market and could induce a selling pressure on the altcoin. At the time of writing, XRP traded for $0.52661, reflecting a 2.78% drop from its Saturday high, according to data from TradingView.
Conclusion
The SEC’s upcoming reply brief in its case against Ripple is a significant event for XRP investors. The outcome could potentially impact Ripple’s U.S. market plans and XRP’s market performance. Investors and market watchers will be keeping a close eye on developments as they unfold.
