Why is XRP still underrated in comparison to a dollar? Why aren’t the banking corporations influencing the value of XRP in the market? What is going on?
I am sure you have come across these questions queried by XRP investors across the various online sites in the recent past.
Is XRP Underrated?
Concerning XRP being underrated, the coin’s best effort to hit the $1 mark was experienced on 25th April 2018 when it was priced at $0.957. Just $0.043 short of the much-hyped $1 mark that could ascertain that the coin is doomed for good moments in the crypto market. Since then, XRP has failed to register a similar trial at achieving the $1 mark and is currently trading at XRP/USD
The Undercover Story of XRP
Currently, XRP is facing a legal complaint that claims XRP is conning investors through a lifelong ICO. On 3rd May 2018, a legal complaint was filed in California condemning XRP Laboratory situated in Delaware State for:
- Conducting an illegal bid and marketing of securities in defilement of Sections 5 and 12(a)(1) of the United States Securities Act.
- Executing an illegal bid and marketing of securities in defilement of Section 25110 and 25503 California Corporations Code.
- Defiling Section 15 of the United States Securities Act
- Violating California Corporations Code Section 25504.
For this complaint to be valid, XRP must be categorized as a Security.
Definition of Security
A security is defined as a fungible, negotiable financial tool that has some form of monetary worth. It symbolizes a tenure capacity in a publicly-transacted establishment (through stock), a creditor connection with a government establishment (epitomised by possessing that entity’s body), or privileges to ownership as characterised by an option.
Is the Lawsuit Valid?
From the above description and the point that the mother company of XRP is not publicly operated through stocks, the complaint is invalid.
Then, What Next?
Now what is remaining is the ruling in this legal complaint which may become one of those revolutionary lawsuits that set primacy for all crypto-based complaints.