Gemini Focused On Relaunching XRP Spot And Derivatives
- Cryptocurrency exchange Gemini says it is exploring the launch of spot trading and derivatives trading of the XRP token.
- The exchange removed XRP from its platform on December 7, 2020, due to Ripple’s troubles from the SEC lawsuit.
- Earlier, Ripple (XRP) received a court ruling that the sale of this token on the exchange is not a security.
Cryptocurrency exchange Gemini says it is considering a re-listing of Ripple’s XRP token following a US federal court’s ruling that XRP is not a security.
Gemini removed XRP from its platform on December 7, 2020, due to Ripple’s troubles from the SEC lawsuit.
Per previous news, a US federal court ruled Thursday that the sale of XRP tokens on exchanges and through the algorithm does not constitute an investment contract. However, the sale of XRP to institutions is still considered an offering of securities and a violation of Section 5 of the Securities Act.
This ruling essentially disproves the SEC’s allegation that XRP is a security, as demonstrated by the contractual nature of the investment under the Howey Test. Therefore, the court indirectly acknowledged that XRP did not have the full nature of constituting a security.
Cryptocurrency exchanges are lining up to list Ripple’s token on their platforms following this ruling. This has caused Ripple’s token to surge more than 72% in the past 24 hours. Currently, XRP is trading at $0.81.
The lawsuit against Ripple has been ongoing since December 2020 when the SEC sued Ripple and its two executives, Brad Garlinghouse and Chris Larsen, on allegations that the company is offering an unregistered securities product.
The SEC lawsuit sought to force Ripple to stop offering its token on the premise that XRP is a security and, therefore, requires additional regulation.
Over the past three years, the case has had much of the plot drama, including releasing the “Hinman Document” and the ongoing defiance of SEC charges from Garlinghouse.
Coupled with the visible movement represented by the XRP token injection in the news, the general sentiment across the crypto community is jubilation.