by Sana Bukhari
Many XRP users anticipate the upcoming settlement between Ripple Labs Inc. and the SEC while SEC’s lawsuit remains unresolved. New information explains what reasons are slowing down the settlement talks. Fox Business Senior Correspondent Charles Gasparino sees how Ethereum launched its tokens as a major element in settling this case.
The X scoop reveals that the main discussion point concerns what category XRP should fall under once the lawsuit is resolved. The negotiations focus on determining if XRP qualifies as a utility token so it can escape SEC securities treatment.
SCOOP: Off of @EleanorTerrett's scoop from yesterday on the @Ripple – @SECGov settlement negotiations, one issue that is being weighed by the commission is whether $XRP continues to trade and have a utility that makes it more a commodity and not a security. I am told the…
— Charles Gasparino (@CGasparino) March 13, 2025
The author mentioned secret sources who viewed Ethereum as an important basis for the settlement talks. During its initial phase Ethereum held an Initial Coin Offering (ICO) as Ripple Labs did with XRP.
Ripple CTO Highlights Key Difference Between XRP And Ethereum
Each protocol conducted a funding campaign to build its platform services. After Ethereum started offering a commodity service Ripple Labs obtained SEC legal action. People now debate if XRP will take the same direction as Ethereum achieved.
The early indication about a potential settlement began this week after Fox Business reporter Eleanor Terrett learned about internal communications. The XRP community has produced fresh responses to the most recent platform updates.
David Schwartz the CTO of Ripple Labs explains the problems with the XRP blockchain. Schwartz said that unlike Ethereum XRP entered the market through private sale before it gained a ledger or blockchain platform.
Several members of the XRP community have pledged that XRP is not classified as a security asset. Based on present commentary experts predict Ripple Labs will get a good outcome similar to what Coinbase received after settling its SEC dispute.
A large number of asset managers want to create XRP-based exchange-traded funds (ETFs) for the U.S. market yet Bloomberg analysts feel that XRP security issues make a potential approval only 60% likely.
The XRP ETF approval chances get stronger when the lawsuit reaches settlement in next few weeks. XRP prices may show strong market gains if the settlement goes well.
The results of Ripple’s SEC case will decide how XRP is labeled as an asset and impact its market trend. XRP’s future depends primarily on the way decisions about Ethereum transformation into a commodity impact its standing. The crypto space will adapt to new digital asset rules once updates become available about the settlement process.
#blockchain #crypto, #decentralized, #distributed, #ledger
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