San Francisco-based fintech firm Ripple is confident that U.S. banks and other financial institutions will soon become more receptive to the adoption of XRP for cross-border payments after a recent landmark ruling determined the token “is not necessarily a security on its face.”
The firm is reportedly anticipating discussions with American financial firms regarding the use of its On-Demand Liquidity (ODL) product, which employs XRP for money transfers, will commence in the third quarter.
Ripple has been embroiled in a legal battle with the U.S. Securities and Exchange Commission (SEC) for three years over allegations that the company and two of its executives raised $1.3 billion through illegal XRP sales. Ripple countered the allegations, arguing that XRP should be classified as a commodity rather than a security.
The legal conflict adversely impacted Ripple’s business, causing the loss of at least one customer and investor. MoneyGram, the U.S. money transfer giant, ended its partnership with Ripple in March 2021.
Tetragon, a UK-based investor that had previously backed Ripple, sold its stake back to the company following an unsuccessful lawsuit to redeem its cash. Ripple’s general counsel, Stu Alderoty, recently expressed confidence that the recent ruling would encourage American banks to reconsider the use of Ripple’s ODL product.
He conveyed his hopes that the decision will provide financial institutions with the assurance to explore solutions to cross-border transaction challenges and associated high fees through conversations with Ripple.
- SEO Powered Content & PR Distribution. Get Amplified Today.
- PlatoData.Network Vertical Generative Ai. Empower Yourself. Access Here.
- PlatoAiStream. Web3 Intelligence. Knowledge Amplified. Access Here.
- PlatoESG. Automotive / EVs, Carbon, CleanTech, Energy, Environment, Solar, Waste Management. Access Here.
- BlockOffsets. Modernizing Environmental Offset Ownership. Access Here.
- Source: https://www.cryptocompare.com/email-updates/daily/2023/jul/18/
- :has
- :is
- :not
- 2021
- 2023
- a
- Adoption
- adversely
- After
- Allegations
- American
- an
- and
- anticipating
- AS
- associated
- assurance
- At
- back
- backed
- Banks
- Battle
- BE
- become
- been
- Billion
- business
- Cash
- causing
- challenges
- classified
- COM
- commission
- commodity
- company
- confidence
- confident
- conflict
- conversations
- counsel
- cross-border
- cross-border payments
- crypto
- crypto roundup
- CryptoCompare
- customer
- decision
- determined
- discussions
- employs
- encourage
- exchange
- executives
- explore
- expressed
- Face
- Fees
- financial
- Financial institutions
- fintech
- Firm
- firms
- following
- For
- General
- giant
- had
- High
- his
- hopes
- HTTPS
- Illegal
- impacted
- in
- institutions
- investor
- ITS
- July
- landmark
- lawsuit
- least
- Legal
- Liquidity
- loss
- March
- money
- Money Transfers
- MoneyGram
- more
- necessarily
- ODL
- of
- on
- On-Demand
- On-Demand Liquidity
- ONE
- Other
- over
- Partnership
- payments
- plato
- Plato Data Intelligence
- PlatoData
- previously
- Product
- provide
- Quarter
- raised
- rather
- recent
- recently
- reconsider
- redeem
- regarding
- Ripple
- roundup
- ruling
- s
- sales
- SEC
- Securities
- Securities and Exchange Commission
- security
- should
- sold
- Solutions
- Soon
- stake
- than
- that
- The
- Third
- three
- Through
- to
- token
- transaction
- transfer
- transfers
- two
- u.s.
- U.S. Securities
- U.S. Securities and Exchange Commission
- U.S. Securities and Exchange Commission (SEC)
- use
- which
- will
- with
- would
- xrp
- years
- zephyrnet
