In a recent legal development, the United States Securities and Exchange Commission (SEC) has initiated a lawsuit against the cryptocurrency exchange Kraken. The SEC accuses Kraken of operating without the requisite securities registrations, continuing the agency’s scrutiny of the crypto industry. Notably, Ripple’s native token, XRP, is absent from the list of digital assets under scrutiny in this lawsuit.
XRP Exemption Amidst Regulatory Action
Meanwhile, Ripple is actively addressing its legal challenges with the SEC. Amid an ongoing lawsuit, Ripple has secured preliminary victories, setting the stage for a pivotal trial scheduled for the upcoming spring. This trial holds significant implications for Ripple’s regulatory interactions.
The SEC’s lawsuit against Kraken alleges unregistered securities trading, encompassing various cryptocurrencies like Solana (SOL), Cardano (ADA), Polygon (MATIC), and others. This extensive action underscores the SEC’s stringent stance on regulatory compliance within the crypto space.
Impact on XRP and Market Performance
While XRP remains outside the SEC’s lawsuit against Kraken, Ripple’s ongoing legal battle with the SEC continues to unfold. This situation has marginally affected XRP’s market performance, witnessing a slight price decline. However, the exclusion of XRP from the recent SEC action against Kraken represents a notable distinction for Ripple amidst regulatory scrutiny.
Despite being omitted from the SEC’s legal action, XRP experienced a retracement in the last 24 hours, along with its price dropping from a high of $0.6229 to an intraday low of $0.59. Currently trading at $0.6, XRP reflects a 2.25% decline from the intraday high.
During the price decline, XRP’s market capitalization fell by 2.665% to $32,444,660,003. However, its 24-hour trading volume surged by 31.47% to $1,375,983,330, indicating heightened trading activity amidst these legal developments.
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