Business and finance

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December 22, 2020

Crypto company Ripple says it is expecting a lawsuit from the US Securities and Exchange Commission

Ripple says it will be sued by the SEC over the alleged sale of unlicensed securities. This development has respawned the debate on whether XRP, a digital token associated with Ripple, is a security or a currency. If XRP is traded like a share or stock, i.e. as a security, it must be registered with the US Securities and Exchange Commission, according to Fortune. Ripple's CEO Brad Garlinghouse said his company "will continue to use XRP because it is the best digital asset for payments". XRP is currently the third most valuable cryptocurrency, with a market cap of about $22 billion.

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