US Supreme Court Decision Backs Ripple, Says Alderoty
Ripple Chief Legal Officer Stuart Alderoty said the U.S. Supreme Court decision on Twitter and YouTube case aligns with Ripple’s argument about Howey principles.
In a May 19 tweet, Alderoty noted that the Supreme Court said it could not simply apply the factors of an old case. Instead, it will adapt those factors to current conditions by considering the underlying statute.
Ripple’s “Investment Contract” Interpretation
According to Alderoty, this view is consistent with Ripple’s opinion that Howey and its operative statute “carries the “soil” of common law in which an “investment contract” requires a contract for an investment that creates post-sale rights for the purchaser and obligations on the seller.
This means that the legal officer expects the Court to adopt the interpretation of investment contracts under the “Howey Test” to accommodate emerging technologies like cryptocurrency.
Meanwhile, the tweet is the latest optimistic statement from Ripple stakeholders and its community. Several analysts predict the Court would rule in XRP’s favor following its recent string of victories.
Court Grant SEC, Ripple’s Extension Plea
In a separate development, Judge Analisa Torres granted SEC and Ripple’s request to extend their filing of Hinman’s speech and other related documents by one week.
The two parties had written a joint letter asking the Court to allow them to file these documents before a June 13 deadline.
Ripple, SEC Extension Letter (Source: Twitter [Eleanor Terret])
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Meanwhile, the news led to speculation that the two parties might be looking to settle. However, crypto attorney and XRP holder John Deaton has poured cold water on this possibility.
According to Deaton, if the Hinman emails were going to lead to a settlement, the SEC would not wait for a judicial order asking it to turn them over to Ripple. He noted that any attempt to keep the documents sealed now would likely fail.
In his view, the SEC asked for the extension because it wants to redact the documents to satisfy the court ruling carefully. Beyond that, it is too late for the SEC to agree that XRP is not a security.
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XRP Enjoys Positive Week
While XRP’s future remains clouded, the token enjoyed a positive price performance over the past week. According to BeInCrypto data, the digital asset gained more than 9% to trade at $0.4662 at the time of writing.
XRP Price (Source: BeInCrypto)
The account creation rate on XRP Ledger has also picked up this year. The blockchain network averages more than 1000 new accounts daily, according to XRP Scan data.
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Source: BeInCrypto
