In this episode of the BeInCrypto video news show, host Jessica Walker will take a closer look at the most recent development in Ripple’s ongoing lawsuit with the SEC and also explain how this affected XRP’s price action yesterday. XRP hit a key price mark for the second time this year.
Ripple’s redacted documents
Yesterday, the US Securities and Exchange Commission (SEC) agreed to redact two Ripple lawsuit documents. On March 31, a New York judge granted Ripple’s motion to seal four documents temporarily. The judge then ordered Ripple and the SEC to agree on adjustments by April 2. Ripple lawyers then managed to convince the judge to redact two email exchanges.
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Ripple won its bid to keep its private email correspondence out of the public eye in its ongoing lawsuit with the SEC. An email between Ripple CEO Brad Garlinghouse and an anonymous person was the first redaction. It concerned Rippleworks, the company’s non-profit VC arm. An email between anonymous parties discussing the public perception of XRP and Ripple’s control of it was the second redaction.
According to Ripple’s counsel, Andrew Ceresney, Ripple hasn’t reached an agreement over the other two documents. The SEC insists on Ripple producing an email exchange that contains co-founder Chris Larsen’s personal financial information. It also wants another email where the company’s strategy is shared with private investors.
However, Ripple’s lawyers still want them redacted. Ceresney said in a letter to the court that they are not judicial documents entitled to public access, as all four documents are “discovery materials filed with the court in connection with the discovery-related disputes.”
Ripple’s further arguments
In response to the SEC’s complaint dated April 4, Ripple points out that the complaint against them was filed 8 years after XRP was created. This was also 5 years after the U.S. Department of Justice (DOJ) and the FinCEN characterized XRP as a virtual currency.
The real issue here is that the SEC’s choice to bring an enforcement action at such a late stage could damage the United States’ ability to participate in a growing industry or influence its growth direction. Regardless of why the SEC initiated the lawsuit, it is one of the most important crypto cases to date. Its outcome could have massive implications for the industry.
XRP price reaction
XRP has now completely reversed losses suffered in December when the SEC first filed a case against Ripple. The recent news had likely contributed to its boost yesterday.
At the time of the video recording, XRP was trading just over 81 cents after breaking above highs from November and February. This is also the highest level since 2018, and many traders are enthusiastic about the long-term prospects of the coin.
Zooming in on the chart, we can see the more critical levels that we need to keep an eye on. On the downside, the closest support is around $0.76, which is the high of recent months.
Below that, we have the level at $0.63, and the price could drop to test both of them if the bullish enthusiasm drops a little bit. At the time of writing, XRP is trading for $0.92, just shy of the $1 mark.