The Paul Barron Network, a YouTube channel focused on cryptocurrency, has requested crypto community members to identify an event related to cryptocurrencies that could be significant for the emerging industry.
In a tweet yesterday, Paul Barron Network posted a tweet on Twitter where he asked his 81.4K followers to select which event they believe would have a greater impact on the cryptocurrency industry between two options: Ripple’s legal victory against the Securities and Exchange Commission or Grayscale’s launch of a Bitcoin Spot exchange-traded fund (ETF).
“If you had to choose ONLY one, what do you think would be bigger/better for Crypto; Ripple case win? or Grayscale Spot ETF?” it stated.
Surprisingly, many people in the cryptocurrency community believe that a legal victory for Ripple against the SEC would be more significant and beneficial for the industry than Grayscale’s launch of a Bitcoin Spot ETF.
Importance of Both Events
Notably, the launch of a Bitcoin Spot ETF by Grayscale is expected to impact the cryptocurrency industry significantly, as it will enable institutional investors to gain access to Bitcoin, potentially increasing their interest in other digital assets like Ethereum (ETH) and XRP. Both events, Grayscale’s ETF launch and Ripple’s legal victory against the SEC, hold importance for the cryptocurrency community.
Furthermore, a legal victory for Ripple against the SEC could lead to policymakers establishing clear regulations for the US crypto industry. At the same time, it’s important to note that the SEC is involved in both events – Grayscale’s ETF launch and Ripple’s legal case.
Grayscale’s Quest to Launch a Spot Bitcoin ETF
Grayscale, a firm specializing in managing digital currencies, has been dedicated to launching a Bitcoin ETF that tracks the spot price of Bitcoin in the US. However, the SEC has repeatedly denied the company’s application, citing concerns over potential fraudulent and manipulative activities related to spot Bitcoin ETFs.
After the SEC rejected Grayscale’s latest application for a Bitcoin spot ETF in June 2022, the company filed a lawsuit requesting a review of the order.
Approval of Grayscale’s request for a Bitcoin spot ETF could result in increased participation from institutional investors in the cryptocurrency space, who would likely invest in the new product.
Legal Action Against Ripple
However, Ripple has been embroiled in a legal battle with the SEC for more than two years following the SEC’s lawsuit against the company and two of its executives for allegedly selling unregistered securities in the form of XRP.
The evidence in the Ripple-SEC case is currently being reviewed by a federal district judge, with a ruling expected soon. Ripple CEO Brad Garlinghouse and other supporters of XRP anticipate a verdict to be reached by the end of June 2023.
If Ripple emerges victorious in the lawsuit against the SEC, it could provide a catalyst for clear regulatory guidance in an industry lacking regulatory clarity.