The post Could the SEC Settle with Ripple Lawsuit Using XRP? appeared first on Coinpedia Fintech News
A surprising idea is gaining attention in the crypto world as social media influencer John Squire suggests that the U.S. Securities and Exchange Commission (SEC) could be planning to settle its lawsuit with Ripple by accepting XRP tokens instead of cash.
Will the SEC truly accept XRP as a payment? Let’s find out!
Delaying ETF Could Be a Strategic Move
In a recent tweet that’s now widely shared, John Squire suggests that the SEC could be delaying the approval of XRP spot ETFs on purpose. Because if they plan to settle the Ripple lawsuit using XRP, they wouldn’t want the price of XRP to shoot up too early.
And that’s exactly what could happen if a spot ETF is approved right now. Unlike a futures ETF, a spot ETF buys XRP directly. That demand would send the price soaring, possibly making XRP too expensive for a favorable government settlement.
Therefore, to keep XRP’s price lower, there has been a delay in the settlement process.
If XRP Is Used as Payment
The theory comes after journalist Eleanor Terrett confirmed that the SEC had delayed its decision on Franklin Templeton’s XRP spot ETF until June 17. Squire argues that this delay is not a coincidence but part of a broader strategy.
Squire says that if the SEC accepts XRP as payment, it would show they no longer see it as illegal. He also points out it wouldn’t make sense for the U.S. government to take payment in something they say is not allowed.
Such a settlement could also lead to regulatory clarity for XRP, encourage institutional investment, and possibly mark the beginning of a new bull run for the token.
XRP Price Outlook
As of now, XRP is trading around $2.20, reflecting a drop of 0.63%, with a market cap hitting $129.13 billion.
However, the 1-day chart suggests that if XRP goes above $2.40, it could start a strong upward trend toward $2.60 or even $2.90. But if it falls below $2, it might trigger more big sell-offs.