Bitcoin, Litecoin, Ether Face Rip As Federal Judge Sides With Ripple
Whoa. Crypto summer cometh!
As I write this, Bitcoin is up more than 3 percent, Ether up nearly 7 percent, and Litecoin up 7.2 percent on the day.
Some on Crypto Twitter are already saying this is a bigger development than if a spot Bitcoin ETF were approved on US soil.
What just happened, exactly?
The entire crypto industry has had a murky cloud hanging over its head, in the form of the wide-ranging government suit against Ripple, a cryptocurrency (one I don’t particularly like — but that’s beside the scope of today’s email).
Ripple, despite being one of the worst designed crypto economic systems on the planet, spent money on good lawyers and they law fared beautifully.
A federal judge decided a digital token like Ripple’s is not, in of itself, an “investment contract” under the conditions of the Howey test — which the US government uses to decide what is, and what is not, an investment security or investment contract.
Logically, we all know this, but logic and law are not always completely overlapping.
Now, after more than a year of back and forth from the lawyers, everyone has some clarity as to what will actually be considered a security in the courtroom, and what won’t.
Furthermore:
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