Why Isn't XRP Included in Ripple's Liquidity Hub Despite Court Decision?
Date: 2023-09-18 Author: Dima Zakharov Categories: BLOCKCHAIN, CRYPTO PAYMENTS
Uncertainty Persists
The XRP community is left wondering why XRP has not yet found its place in the Liquidity Hub, even after legal clarity surrounding its status. Supporters argue that this decision appears contradictory given the recent court ruling.
Legal Nuances
Bill Morgan, a prominent attorney advocating for XRP, shed light on the matter. Morgan emphasized the legal intricacies surrounding the situation, explaining that while XRP itself has gained clarity as a non-security, the status of Ripple's use or sale of XRP remains uncertain.
"XRP has clarity as it stands on its own as a non-security, but the use or sale of XRP by Ripple lacks finality, given the SEC's intention to appeal. If Ripple employs XRP in the LH, can it or its clients be assured that this won't lead to SEC actions until the legal process and any subsequent appeals are definitively resolved?"
In particular, the lawyer noted that the uncertainty arises from the Securities and Exchange Commission's (SEC) intention to challenge XRP's victory. Moreover, Morgan pointed out that this uncertainty raises questions about potential SEC enforcement actions until the ongoing legal process and any subsequent appeals are fully resolved.
Practical Considerations
Furthermore, Morgan highlighted that from a practical standpoint, it's unsurprising that assets like Bitcoin, Ethereum, USDC, and USDT were included in the Liquidity Hub, given their high liquidity and widespread use.
Moreover, he emphasized that Ripple is likely to prioritize the interests and demands of its shareholders and clients over those of XRP holders. This position aligns with the understanding that there are no inherent legal obligations between Ripple and XRP holders.
