What will happen with Ripple after the lawsuit?

A few days ago, Ripple CEO Brad Garlinghouse spoke to CNBC about the implications their lawsuit with the SEC will have on the company and XRP. He also stated that if the case doesn’t go their way, that would mean that the SEC would have more standing to be aggressive in other cases regarding crypto and digital assets.

The SEC issued the lawsuit back in December 2020, and ever since then, it has been an ongoing battle between the company and the federal agency.

The case has raised the attention of investors, crypto enthusiasts, and mainstream finance media because the outcome of the lawsuit will have an important impact on Ripple, XRP, and the whole crypto industry.

Why did SEC file a lawsuit against Ripple?

They started an investigation and decided to file an action against Ripple, the former CEO Christian Larsen, and the Current CEO Bradley Garlinghouse. The main argument is that they illegally raised around $1.3 billion through an unregistered digital asset security offering, implying that the company used XRP to raise funds without listing the asset as a security.

Ripple argues that XRP is not a security because it doesn’t represent any company and that there’s no investment contract between two parties when you buy XRP. Those are…