Internal emails from the U.S. Securities and Exchange Commission (SEC) suggest that the regulator knew that XRP did not fully meet the definition of a security.
Crypto lawyer and XRP supporter John Deaton pointed out this evidence in the earlier filings by Ripple. Deaton wondered why Ripple’s legal team did not emphasize the email’s implication despite its importance.
SEC’s Email on XRP
The emails referred to in exhibit 220 argue that there are reasonable grounds not to consider XRP as a security because it does not satisfy the Howey test.
There are “reasonable grounds to conclude that XRP does not satisfy all elements of the Howey Analysis and is therefore not a ‘security’ for purposes of the federal securities laws,” the email reads.
The SEC case against Ripple is hinged on the argument that XRP and most cryptocurrencies should be classified as securities because they meet the definition of the term under the Howey Test.
Thus, any admission by the SEC or its official that XRP does not constitute a security in its internal documents could be disastrous to its case.
Community Debates New Finding
Deaton suggested that it was likely that the statement was not a direct quote from an SEC official and that the official could be referencing
Go to Source to See Full Article
Author: Oluwapelumi Adejumo
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
