In the latest development in the legal battle between XRP investors and Ripple, the company has filed a new motion to dismiss the class-action lawsuit entirely. In the motion, Ripple made many arguments, but none of them addressed the question about XRP.
The lawsuit was filed in July 2018 by some XRP investors alleging that Ripple had sold them unregistered security. Earlier this year Ripple achieved a minor victory when the court denied the plaintiffs’ motion to remand. Later plaintiffs’ lawyers Taylor-Copeland filled another case in California because the laws in states provide an advantage to the investors.
Despite the controversies that have surrounded XRP and Ripple, the price of the cryptocurrency seems to recover quite well over the last few weeks. At the time of writing, XRP is changing hands at $ 0.29. If the court decides to rule in favor of Ripple, the price of XRP could boost further. And on the contrary, if the court favors the plaintiffs and rules XRP as security, the price of XRP could take a huge blow.
Lawyer Jake Chervinsky, who is closely observing the case opined that Ripple’s motion to dismiss XRP security class action is perfectly designed to delay the case as long as possible. He reckons that the case will go for a couple of years more before reaching a verdict or a settlement.
1/ Ripple just filed a motion to dismiss the XRP securities class action. The motion is perfectly designed to delay the case as long as possible & is deeply unsatisfying for those of us who want a ruling on whether XRP is a security.
Here are the highlights & what comes next:
— Jake Chervinsky (@jchervinsky) September 20, 2019
Plaintiffs’ will file an opposition by November 4 and Ripple will file a reply by December 4, and then the court will hear oral arguments on January 15, 2020.
The United States House of Representatives Committee on Financial Services will meet the SEC chairman Jay Clayton and other regulators to discuss the crypto laws on Tuesday. Authorities will try to gain a clear picture of how to properly regulate the cryptocurrencies. This meeting will have a direct impact on the crypto market.