The U.S. Securities and Exchange Commission (SEC) will hold a closed meeting on February 20, with the agenda hinting at possible discussions on high-profile crypto cases, including the ongoing legal battle with Ripple.
According to the Sunshine Act Notice, the meeting will cover litigation claims, enforcement proceedings, and administrative settlements.
The timing of the meeting has sparked speculation about a potential shift in the SEC’s approach, particularly following recent changes in its leadership and policy direction. Investors are closely watching for any signs of a resolution in the Ripple case, which has been a focal point in the broader debate over crypto regulations.
Also Read: Do Not Sell XRP Before July, Investor Reveals Something Huge Coming
Potential SEC Policy Shift and Ripple’s Legal Battle
The SEC appears to be reassessing its crypto-enforcement guidelines based on new organizational trends. Acting SEC Chair Mark Uyeda established Commissioner Hester Peirce as their Crypto Task Force leader, who handles cases lacking fraud elements.
Increased anticipation indicates the Security and Exchange Commission might reduce its forceful regulatory approach against cryptocurrency companies.
Legal experts believe that the SEC could withdraw its appeal in the Ripple case, particularly given that the case does not involve fraud allegations. SEC Chair Paul Atkins’s impending confirmation as head of the agency is anticipated to affect how it conducts regulations.
As SEC Chair-designate Paul Atkins stands for free markets and limited regulation, he intends to support digital assets.
The various cryptocurrency cases involving Binance, Coinbase, and Lejilex have asked for additional time from the court based on potential Crypto Task Force involvement in settlement processes.
Ripple faces an April deadline to reply to the SEC’s opening brief, however, the SEC is experiencing mounting pressure to resolve the matter quickly.
XRP Price Movement Reflects Legal Uncertainty
The price volatility of XRP has increased because of ongoing doubts about the Ripple legal proceedings. The price of XRP declined by 3.91% to rest at $2.57 yet maintained a weekly gain of 2.67% above most other digital currencies, as per CoinMarketCap.
The token has received support in its price due to positive expectations that Ripple and the SEC could reach settlement terms and because market actors speculate the SEC might approve an XRP-spot ETF.
Market experts predict XRP will exceed the $3.4 all-time high if the SEC declines to proceed with its appeal, thus enabling additional upward momentum towards $5. On the other hand, if the SEC pursues its appeal and denies XRP-related ETF applications, the token price might fall below the $1.50 mark.
Conclusion
A closed meeting involving the SEC will be instrumental in laying out a course for the following actions in the Ripple litigation. The possibility of appeal withdrawal becomes more probable based on changing leadership and rising demands to reduce regulatory enforcement.
This meeting will have major consequences for Ripple, its XRP investors, and the cryptocurrency market.
Also Read: Has the SEC Officially Classified XRP as a Commodity?
