The judge’s ruling in the case between Ripple (XRP) and the US Security and Exchange Commission (SEC) was celebrated as a major victory in crypto land. But if it is up to the Bank of America, the statement is anything but clear. The bank reports this in a report in the hands of Coindesk. However, there is one clear unanimous winner: crypto exchange Coinbase.
Implications Ripple ruling vague
The bank believes that while the victory was the biggest celebration in the crypto industry, “the sale of XRP tokens is unique, and the implications of the ruling are very complex.” Earlier this month, the judge ruled that trading XRP tokens on crypto exchanges is not covered by US securities law. However, direct sales of XRP tokens to institutions in the past did.
According to the Bank of America, this has not necessarily provided the crypto sector with more clarity about the status of other tokens. The bank will continue to differentiate between the sale of digital assets and the sale of regulated products such as ETFs and gold. There are already clear rules in place for the latter category. For digital assets, despite the court’s ruling, everything is still in shambles.
Crypto exchange Coinbase benefits
The victory for Ripple and the crypto sector is therefore a bit more nuanced if it is up to the bank. Yet according to another financial institution, Needham, there is a clear winner. That is Coinbase and its share COIN. The price of COIN rose sharply after the ruling.
Coinbase is also involved in a lawsuit with the SEC. The judge’s ruling is cause for optimism for the exchange and may well be used in Coinbase’s favor in its lawsuit. However, the BoA is more reserved about this and does not dare to say whether the outcome in the Ripple lawsuit also applies to other crypto coins that were designated as securities in the indictment against Coinbase.