Why is XRP not a security?

Gonzalo Tinner asked, updated on December 4th, 2020; Topic: xrp

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According to Giancarlo and Bahlke, XRP was never marketed as a security, nor were investors promised any returns; the token has a very specific use case for liquidity and settlements; Ripple has never offered holders any rights of ownership or share of the profits.

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In all cases, will XRP rise with Bitcoin?

Cryptocurrency investing is notoriously risky and it's vital to have a robust risk management strategy in place if you're considering adding Ripple XRP to your portfolio — however, cryptocurrency trends suggest the value of Ripple will ultimately rise by around 10% by the year 2025.

In any case, is XRP a security or not? According to the chartist, XRP — the fourth-largest cryptocurrency at publishing time — is a security, which means that the coin should fall under the regulatory purview of the United States Securities and Exchange Commission. ... XRP would have been declared as a security if the SEC understood cryptos.

Either, what is the future of ripple XRP?

Looking even further, the XRP projected value is set to be within the $0.50-$0.60 range in November 2025. Longforecast.com seems to have the most bearish Ripple XRP prediction, suggesting the coin to end 2020 at $0.38, further sliding to close 2021 at $0.26 and hit $0.08 in December 2023.7 days ago

Will the US government use XRP?

XRP will be a world reserve currency (and it will be used to pay off debt). It will solve the debt crisis without devaluing fiat currencies. For example, the U.S. government (and other governments) could buy XRP at very low OTC rates, which wouldn't drive prices up on the retail exchanges.

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What happens if XRP becomes a security?

Yes, XRP does not meet the traditional definition of a security, but that may not stop the SEC from deeming it a security. ... FIs and payment remittance groups will buy and sell XRP as a source of liquidity in the very near future hopefully), and XRP is traded on secondary exchanges.

What happens if ripple becomes a security?

If XRP was classified as a security than Ripple would be beholden to its “shareholders,” anyone that owned XRP would own a share of Ripple, the company. In this case, purchasing XRP, the digital asset, would be the same as buying a share in Ripple like you would on the NYSE or any other global exchange.

Can XRP reach $10000?

XRP is designed to rise to $10,000. ... If XRP is used for every retail transaction and every cross-border currency transfer, it can reach a value of 10,000 USD: It's designed to have a value of 10,000 per coin. This assumes every retail transaction and international currency transfer uses XRP.

Will a ripple recover?

Initially, the service predicts a bad year ahead for XRP. ... However, if you can handle a little FUD, it may be a good time to accumulate XRP at such a low price. WalletInvestor believes the price will recover to around $0.46 by the end of 2020, $0.58 in 2021, and over $2.00 in 2025, making XRP a buy and hold investment.

Is XRP a crypto?

XRP – which is the actual cryptocurrency – is a token which is used on the Ripple network to facilitate transfers of money between different currencies. ... XRP is a token used for representing transfer of value across the Ripple Network.