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Ripple’s long-standing legal battle with the U.S. Securities and Exchange Commission (SEC) may come to a close this year, with Ripple emerging as the victor, according to YouTube personality Ben Armstrong, also known as BitBoy Crypto. The $1.3 billion lawsuit, which was filed in December 2020, centers on whether Ripple’s XRP token should be considered an unlicensed security under U.S. law. If XRP is deemed a security, it would be subject to stricter regulations.
“The XRP lawsuit concludes and the Ripple curse is broken,” Armstrong said of his prediction for 2023. Armstrong’s YouTube channel, which focuses on cryptocurrency news and analysis, has over 1.45 million subscribers.
The SEC has faced criticism for its lack of clarity and transparency when it comes to its approach to cryptocurrencies, particularly its treatment of Ethereum, the second-largest cryptocurrency by market capitalization. In 2018, a senior official at the agency stated that the sale of ETH tokens did not violate securities laws because the project was “sufficiently decentralized.”
SEC Chairman Gary Gensler has consistently maintained that most cryptocurrencies are securities, with the exception of bitcoin, which he considers a commodity. Armstrong, like many in the Ripple community, believes Gensler should resign, potentially after Ripple’s lawsuit is decided in its favor.
“Many crypto onlookers believe the blockchain firm stands a good chance of winning the lawsuit,” Armstrong said. “Billions of dollars are riding on the ultimate answer.”