Cryptocurrency

Binance Leverages Ripple and XRP Victory to Dismiss SEC Case

In a bold move, Binance, the world’s largest crypto exchange by trading volume, has filed a motion to dismiss the charges brought against it by the United States Securities and Exchange Commission (SEC), leveraging a recent court ruling in favor of Ripple and XRP. The motion highlights the regulatory body’s reliance on past initial coin offerings (ICOs) cases and argues that the SEC lacks the authority to regulate the cryptocurrency industry.

Ripple and XRP Court Ruling as a Game Changer

Binance’s defense strategy takes a significant turn with its reference to a recent court ruling in Ripple’s favor. The ruling acknowledged that secondary market XRP sales did not fall under securities transactions. By emphasizing this precedent, Binance questions the SEC’s classification of crypto trading on its platform as securities transactions.

Read Also: Binance Blasts SEC for Misleading Claims About Consent Order Agreement

The memorandum of law in Binance’s motion to dismiss states, “The undisputed facts [XRP victory] showed no relevant relationship between the parties to the sale that could transform the sale of a digital asset into the sale of an investment contract.”

SEC’s Overreach and Lack of Legislative Authority

Beyond leveraging Ripple’s win, Binance strongly argues that the SEC’s lawsuit represents an overreach of its regulatory powers. The filing quotes SEC Chairman Gary Gensler’s comments from May 2021, where he admitted the absence of a regulatory framework for overseeing the cryptocurrency industry.

Binance points out that Congress has not enacted new legislation to expand the SEC’s authority in the digital asset space since Gensler’s acknowledgment. Consequently, Binance asserts that the SEC is attempting to achieve through litigation what it lacks through legislation, thereby surpassing the regulatory powers granted by Congress.

Read Also: Binance CEO Says SEC’s Request for Emergency Relief as Unjustified

Precedent and Regulatory Clarity

The outcome of Binance’s motion remains uncertain, as Ripple’s court ruling is on the verge of being appealed by the SEC, which eagerly needs the presiding judge’s approval. Nevertheless, this recent development underscores the importance of Ripple’s efforts so far.

Leveraging Ripple’s win could potentially lead to further regulatory clarity for the United States cryptocurrency industry. By challenging the SEC’s reliance on ICO cases and questioning its jurisdiction, Binance brings a fresh perspective to the ongoing legal battle.


Follow us on Twitter, Facebook, Telegram, and Google News

Adedoyin Aka

Adedoyin is a graduate of Law and a Crypto & Blockchain expert who strongly believes that Blockchain is the future. At TimesTabloid, she focuses on crypto and blockchain educational content.

Recent Posts

Mutuum Finance Moves into Phase 3, While Solana Faces an Uncertain Market

As Solana (SOL) wrestles with erratic price shifts, Mutuum Finance (MUTM) is forging ahead, reaching…

3 minutes ago

Analyst Predicts 1000% XRP Price Rally If Bitcoin Hits This Price Milestone

In a recent X post, crypto analyst Egrag Crypto expressed a bullish outlook on the…

27 minutes ago

This Altcoin Has Been Nicknamed XRP 2.0 And Experts Believe It Can Rally Over 1500x

The cryptocurrency market shows excitement about XRP 2.0 as an alternative token because it could…

33 minutes ago

They Are Clearing Path for XRP to Become the Mainstream Coin for US Treasury and Banks

Recent discussions on X have fueled speculation about XRP’s potential role in the U.S. financial…

1 hour ago

Best New Meme Coins to Invest in March 2025: 4 Picks for Maximum Gains Such as BTFD & DOGE

Meme coins have come a long way from being just an internet joke. In 2025,…

3 hours ago

Top Cryptos for Significant Returns: Why Cardano’s Missed Opportunity Is Real and Qubetics is a Game-Changer in 2025

The cryptocurrency market has been buzzing lately, and not just because of the roller-coaster prices.…

7 hours ago