Famous XRP community figure Cowboy quickly shared a video on X following U.S. President-elect Donald Trump’s appointment of Sacks as the new “Crypto Czar.” The appointment is crucial for the crypto industry, particularly in the ongoing legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC). Sacks’ comments on the matter intensified speculation about the future of XRP and crypto regulation under a potential Trump administration.
Also Read: Trump Appoints David Sacks as White House AI and Crypto Czar
Ripple’s Legal Victory and the SEC Appeal
During an appearance on the All-In Podcast on July 14, 2023, just one day after Judge Torres delivered her summary judgment, Sacks declared that Ripple had won the lawsuit. According to Sacks, the court ruled that Ripple’s sales of XRP did not constitute investment contracts, which was seen as a significant legal victory for Ripple. He suggested that this ruling validated Ripple’s argument that XRP is not a security and should not fall under SEC scrutiny.
Sacks also noted the increased market sentiment after the announcement by pointing out that the price of XRP went up by 35% right after the ruling. This momentum helped build more support for Ripple, which had stood its ground.
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However, Jason, one of the hosts of the All-In Podcast, observed that Sacks was wrong in his statement. He reminded Sacks that the court still deemed Ripple’s transactions to be potential securities with sophisticated investors.
Despite this, the SEC has made it clear it will not accept the decision without a fight and has filed an appeal, scheduled to be heard in the Second Circuit, with the brief due by January 15, 2025. This appeal coincides with Trump’s inauguration, raising speculation that his administration may favor more crypto-friendly policies. Many believe this shift could result in a more favorable regulatory environment for XRP, further fueling optimism among investors, as XRP’s price has risen sharply recently.
Also Read: Ripple vs. SEC: Legal Chief Slams SEC’s Ongoing Crypto Attacks
Maxwell Mutuma
Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.