After being appointed as the White House AI and Crypto Czar by President-elect Donald Trump, David Sacks made headlines within the XRP community with his comments on the July 2023 ruling in the SEC v. Ripple lawsuit. A video of Sacks discussing the verdict went viral, sparking discussions and speculation among XRP enthusiasts.
In the video, Sacks asserted that Ripple had emerged victorious in the lawsuit, emphasizing that the judge ruled in favor of the company by determining that its sales of XRP did not constitute offers in investment contracts. This decision was seen as a significant vindication for Ripple and a validation of its argument that XRP should not be classified as a security under SEC scrutiny. Sacks also highlighted the positive impact of the ruling on XRP’s price, noting a 35% surge following the verdict.
However, not everyone agreed with Sacks’ interpretation of the ruling. One of the hosts on the All-In Podcast, Jason, challenged the claim by pointing out that while Ripple’s sales on digital exchanges were deemed non-investment contracts, its offers to sophisticated investors were considered securities. Despite this discrepancy, Sacks remained steadfast in his belief that the ruling exonerated Ripple from the SEC’s allegations.
In response to the ruling, the SEC announced its intention to appeal the decision, particularly contesting Judge Torres’ findings on Ripple’s programmatic sales and distributions of XRP. This move set the stage for a legal battle in the Second Circuit, with the SEC scheduled to submit its appeal brief just days before Trump’s inauguration.
The appointment of Sacks as the White House AI and Crypto Czar, along with other pro-crypto advocates in key positions, fueled speculation that favorable regulations for the crypto industry could be on the horizon. This optimism led to a surge in XRP’s price, reaching $2.86 before settling at $2.30, reflecting a 43.57% increase in just seven days.
As the crypto community eagerly awaits further developments in the SEC v. Ripple lawsuit and anticipates potential regulatory clarity under Trump’s administration, the future of XRP and the broader crypto industry remains uncertain yet promising.