Crypto Comeback: Kinda?
Plus, fintech fear in the UK.
Number of the Week: 48% (explanation below)
Crypto Comeback: Kinda?
This week was one of crypto’s most momentous of the year. On the same day, a federal judge seemed to hand Ripple a partial victory in its longstanding battle with the Securities and Exchange Commission (SEC), and a onetime high-flying crypto mogul was arrested for massive fraud and market manipulation. It’s hard to know which story better illustrates crypto’s future, but at least for the moment the markets have taken a decided bullish turn.
U.S. District Judge Analisa Torres ruled on Thursday that some of Ripple’s sales of the token XRP were not securities; the SEC has maintained for years that they were. Ripple and its supporters were quick to crow about the ruling; a Ripple tweet proclaimed: “XRP is not a security. This victory for @Ripple is a win for the entire industry and a step toward regulatory clarity in the U.S.”
It’s true that the SEC can’t be happy with this ruling, but the situation is far more complicated than crypto’s cheerleaders are generally acknowledging.