Fox Analyst Debunks XRP Get-Rich Myth

Charles Gasparino, a notable American journalist and senior correspondent at Fox Business, has issued a cautionary statement to XRP investors, highlighting the potential financial hazards linked to XRP amidst Ripple’s ongoing regulatory dispute with the United States Securities and Exchange Commission (SEC).

In a recent update on X (formerly known as Twitter), Gasparino delved into the ongoing regulatory dynamics between Ripple and the US SEC. The Fox Business journalist revealed the possibility of the SEC revisiting Judge Analisa Torres’ prior ruling on XRP.

However, Gasparino suggests that if Gary Gensler, the current chair of the US SEC, were to designate Ethereum, the second-largest cryptocurrency, as a security, the government would exert significant efforts to overturn the ruling on XRP made in July 2023. At that time, Judge Torres had determined that programmatic sales of XRP should not be classified as a security, thereby providing the Ripple team with a partial victory against the SEC.

The Fox Business journalist stated that in such a scenario, XRP investors would likely not see substantial gains from their investment. Instead, they could potentially suffer losses depending on the outcome. This is due to the possibility that if the SEC successfully challenges the Ripple ruling, the price of XRP might plummet once more, with little prospect of recovery for an extended period.

SEC Ambiguity: XRP & ETH Classification Debate

Gasparino has firmly asserted his confidence in the potential for the US SEC to overturn the Ripple ruling, while Gensler has not provided definitive direction regarding the classification of Ethereum.

The SEC chair has avoided definitively stating whether Ethereum qualifies as a security. This ambiguity has increased uncertainty regarding Ethereum’s classification, potentially amplifying regulatory concerns within the digital asset sphere.

At present, BlackRock’s stance on the potential introduction of an XRP ETF remains ambiguous. While the asset management firm refuted speculations about initiating an XRP ETF in 2023, it has not completely dismissed the prospect. Instead, BlackRock is prioritizing its emphasis on its Spot Bitcoin ETF.

Related Reading | Here’s Where Dogecoin And Shiba Inu Would Be With The Market Cap Of Ethereum

The author’s views are for reference only and shall not constitute any investment advice. Please ensure you fully understand and assess the products and associated risks before purchasing.

Comments (No)

Leave a Reply