Edoardo Farina, CEO of Alpha Lions Academy, recently claimed that the long-running lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC) was a strategic move to shake out retail investors and allow institutions to accumulate XRP at lower prices.
Edoardo Farina’s assertion that the SEC lawsuit aimed to benefit institutional investors by lowering XRP’s price reflects a broader suspicion within the crypto community. He suggests that this legal action provided a lucrative opportunity for large entities to acquire significant amounts of XRP at reduced costs, a sentiment echoed by several community members.
XRP Army Debates the Reason for the Lawsuit
One user expressed skepticism about the feasibility of such a strategy, noting, “With only 55 billion in circulation at .59, that’s roughly 31 billion to buy the whole supply. That’s easily done by a few whales. Why wouldn’t the rich buy it all up with their personal money?”
According to his speculation, if the elites wanted to get their hands on XRP, it wouldn’t cost much to purchase the entire supply. Instead of going through other underhanded tactics, a few XRP whales could buy up all the tokens, completely shaking out retail investors.
Another response offered a different perspective, suggesting that the lawsuit is a delay tactic for a more significant financial transition. The user posited, “The SEC Lawsuit was nothing more than a DELAY to initiate The QFS Gold Backed Currency System facilitated by XRP And XLM and The ISO tokens.”
This interpretation aligns with a broader conspiracy theory within the crypto community that sees regulatory actions as part of a larger, orchestrated plan to introduce new financial systems.
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The challenges faced by Ripple in its battle with the SEC were also acknowledged by another user, who stated that Garlinghouse and Ripple paid the price for their push for innovation and a new system that would benefit the masses more than the elite.
Contrary to Farina’s view, some users doubt the theory that the lawsuit was designed to benefit institutional investors. One user argued, “If that were the case, the price would already be higher,” indicating that if institutions were indeed accumulating XRP en masse, its market value would reflect such activities.
Another user suggested that the lawsuit was driven more by individual ambitions within the SEC, stating, “I think Gary Gensler specifically is just really that power hungry and thought he’d never get checked.”
Although the SEC’s reasons for the lawsuit, whether nefarious or not, might never be revealed, Gensler is facing pushback for his anti-crypto practices and is currently under investigation for politically motivated hiring practices.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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