Crypto Ahmet
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Bullish
😱🔥What Happens If XRP Is Considered a Commodity❓ SEC on the Verge of Decision
According to Fox News, the #SEC is in talks about whether #XRP is a commodity and whether it can be considered in the same class as ETH. This situation leads to the conclusion that XRP can be classified as a commodity. So what happens if XRP is considered a commodity?
If this scenario happens, the #US Commodity Futures Trading Commission (CFTC) will start to take a more active role in market surveillance and derivative product approval control in XRP. The CFTC considers cryptocurrencies such as Bitcoin and Ether as commodities and regulates their futures. XRP commodity solutions will win if they pave the way for futures and other types of futures based on XRP under the supervision of the CFTC.
If this works for XRP, granting XRP's ETF permit will remove a significant obstacle. This is also available for other cryptocurrencies such as Solana. In this regard, Bloomberg ETF analyst James Seyffart stated that Solana ETFs face an obstacle. Seyffart explained that this obstacle was the SEC showing SOL as a security.
If XRP is accepted as a commodity, there will be more clarity in the division of authority between the SEC and the CFTC regarding cryptocurrencies. While the SEC will ease its insistence on tokens that do not have a security value, the CFTC will undertake to maintain the market integrity of these assets.
The evaluation of XRP as a commodity will set an important legal precedent for the entire crypto sector as a result of the Ripple transaction
The acceptance of XRP as a commodity is also likely to lead to significant relaxation and changes in the business model and operational logs of Ripple. Ripple has been forced to be cautious about the use of XRP, especially in the US due to SEC transactions, although it has been aware of a business model that positions XRP as a means of providing cross-border payments and liquidity for years. If XRP is officially accepted as a commodity and the security stamp is lifted, Ripple will be free to fully expand its business model.
According to Fox News, the #SEC is in talks about whether #XRP is a commodity and whether it can be considered in the same class as ETH. This situation leads to the conclusion that XRP can be classified as a commodity. So what happens if XRP is considered a commodity?
If this scenario happens, the #US Commodity Futures Trading Commission (CFTC) will start to take a more active role in market surveillance and derivative product approval control in XRP. The CFTC considers cryptocurrencies such as Bitcoin and Ether as commodities and regulates their futures. XRP commodity solutions will win if they pave the way for futures and other types of futures based on XRP under the supervision of the CFTC.
If this works for XRP, granting XRP's ETF permit will remove a significant obstacle. This is also available for other cryptocurrencies such as Solana. In this regard, Bloomberg ETF analyst James Seyffart stated that Solana ETFs face an obstacle. Seyffart explained that this obstacle was the SEC showing SOL as a security.
If XRP is accepted as a commodity, there will be more clarity in the division of authority between the SEC and the CFTC regarding cryptocurrencies. While the SEC will ease its insistence on tokens that do not have a security value, the CFTC will undertake to maintain the market integrity of these assets.
The evaluation of XRP as a commodity will set an important legal precedent for the entire crypto sector as a result of the Ripple transaction
The acceptance of XRP as a commodity is also likely to lead to significant relaxation and changes in the business model and operational logs of Ripple. Ripple has been forced to be cautious about the use of XRP, especially in the US due to SEC transactions, although it has been aware of a business model that positions XRP as a means of providing cross-border payments and liquidity for years. If XRP is officially accepted as a commodity and the security stamp is lifted, Ripple will be free to fully expand its business model.
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