Ripple’s XRP in legal turmoil and media clash as Bloomberg’s misleading report sparks debate.
Ripple’s XRP token has come under intense scrutiny, caught up in a whirlwind of legal action, misconceptions, and a scramble for accuracy of the facts. An unexpected turn of events has erupted, pitting media titan Bloomberg against the unyielding forces of the XRP army.
Bloomberg’s Mistake: A Headline Gone Wrong
The Securities and Exchange Commission (SEC) recently asked a federal judge for permission regarding Ripple’s XRP token, prompting Bloomberg to publish a headline reading: “SEC Moves to Appeal Ripple’s Decision That XRP it is not a value.” That is what Bloomberg would have readers believe.
The headline was immediately met with backlash. Professional XRP lawyer John Deaton and CryptoLawUS quickly corrected what they called demonstrably false information:
“Hey @ChrisDolmetsch – this story is false on very important facts you got wrong. Nothing in this brief is related to the XRP token not being a security. It is entirely about the CHANCE to file an expedited appeal about specific OFFERS AND SALES by the DEFENDANTS of XRP. Not the token itself.”
The post was immediately replied by X users such as @WhaleWire, in the following terms:
“Numerous mainstream news sources are stating that SEC plans to challenge the court’s ruling that $XRP is not classified as a security. However, this is false. It’s only about offers/sales, and SEC even admitted themselves that XRP is not a security and they won’t be appealing that.”
John Deaton, a well-known pro-XRP lawyer, took to X to express his dismay at Bloomberg’s coverage. His concerns weren’t just minor details; they were core events that could significantly affect markets.
“I have to say there is no doubt 75K #XRPHolders are a major reason the SEC is conceding this issue. We fought to have the judge actually that the token itself is not the security. In fact, it was the first section in our argument in the Brief.”
The case document explicitly stated that the SEC did not request an appeal review of any holdings with respect to XRP. The SEC’s request was for an expedited appeal only, not a motion to appeal anything related to the XRP token is not a security. Deaton stressed the importance of getting the terms right and accused Bloomberg of publishing a false story.
The Complexities of the Case: What’s Really Happening?
A $100 million lawsuit fought for 2.5 years had established that only XRP offers and sales could be securities. The distinction between the token and the sales was a central fight in the case, and Ripple won this battle.
The SEC’s recent filing was a request for an expedited appeal on specific decisions by Judge Torres. It was not related to the XRP token being a security. This nuance, while complex, is a critical aspect that had been misrepresented by Bloomberg.
Clarification from Ripple’s CTO David Schwartz
David Schwartz, Ripple’s CTO, admitted that the SEC asked for the certification, essentially permission to appeal. His voice added credence to the fact that the SEC’s request was fundamentally different from what Bloomberg portrayed.
With major media outlets like Bloomberg stumbling and warriors like John Deaton and CryptoLawUS stepping in, the fight for truth and justice continues. The war is not won, nor is history complete.
By Audy Castaneda
