Ripple has been front and center and will keep making the news for a long time as it secures one win after another. If you’ve kept up with the crypto headlines, you know about the refusal to accept XRP, the native crypto of the Ripple blockchain, as a commodity from the U.S. Securities and Exchange Commission. After years of back-and-forth arguments between Ripple Labs and the SEC that sent shockwaves through the entire crypto industry, the confrontation reached its end. Ripple’s XRP has all it takes to be treated as a commodity, being traded like oil, gas, silver, gold, and other assets sharing the same attributes.
Despite the trickiness of predicting the resolution of the legal dispute with unshakeable accuracy, Dubai has placed its bet in advance. XPR received the green light from VARA of the Dubai Financial Authority to be used as a monetary system in global transactions. Additionally, Ripple joins Bitcoin, Ethereum, and Litecoin as digital assets accepted by the Dubai Financial Services Authority (DFSA) to be used in the Dubai International Financial Centre.
The latest achievements set a precedent for Ripple that resonated across the crypto sector. Among the most impactful aftermaths resulted is the massive sparked investor interest in the asset which materialized in colossal inflows into the asset. Increasing numbers of investors eye XRP as the coin racks up wins and enjoys a clearer regulatory status. Now that the worst is over, what should we expect from the asset soon? Could the ripple price prediction come to fruition?
A Quick Recap
It’s known that Dubai is one of the most progressive administrative centers that are furthering the progress of digital currency and virtual assets. You can buy real estate properties with various cryptocurrencies, including XRP, BTC, and ETH. Regarding the regulation of these newcomers in the financial system, the capital of the UAE is a game-changer in the cross-border payment industry, having recognized three cryptocurrencies to date as legal payment systems in international transactions.
Bitcoin, Ethereum, and Litecoin have been functioning as such for over a year, as Ripple’s greenlighted operation is anything but new. It’s one year since the DFSA approved these digital assets, validating Dubai’s role in expanding crypto and digital assets.
The DFSA is Dubai’s independent financial service regulator, charged with overseeing and enacting appropriate counter-terrorist financing and anti-money laundering prerequisites in the DIFC. This is a unique economic branch and financial hub serving the capital of the UAE.
On 2 November of 2023, Ripple Labs made known that the organization approved XRP under the digital asset regime, meaning that companies could use the asset if licensed within the DIFC sector. This development came alongside the approval of Toncoin (TON), and a year after the DFSA greenlighted Bitcoin, Ethereum, and Litecoin in November 2022.
Dubai’s Financial Authority Finally Approves Xrp
VARA’s pronouncement represented one of the last steps XRP had to take to declare the battle won. Short for Virtual Assets Regulatory Authority, VARA is the superior entity responsible for regulating and controlling virtual assets and related activities in every sector across the city, except the DIFC but not the Free Zones and Special Development Zones.
The third week of June marked a new landslide for Ripple, as it received the long-awaited approval from the VARA. XRP became free to transfer and transact from the city, and it now boosts virtual asset services available citywide. XRP is the first external digital asset to enjoy this regime and joins the ranks of LTC, ETH, and BTC.
Ripple has broken a new barrier to mainstream adoption as the DFSA gave the O.K. to XRP to be used in the city’s International Financial Centre, licensing digital asset businesses to offer the cryptocurrency to clients. This opens a new chapter for Ripple as XRP receives the legal clarity and regulatory support needed to expand the asset’s exposure in the Middle East. DFSA’s wide-ranging agenda promises protection for investors and furthers innovation and the progress of the crypto and fintech industry citywide.
In light of the latest landslide, Ripple aspires to create new opportunities to facilitate local payments with XRP and a host of other use cases of the blockchain. What’s more, Dubai’s position as a leading financial hub worldwide and forward-thinking regulatory agenda, owing to which Ripple established its MENA headquarters here, demonstrate the city’s commitment to pushing XRP payments upward.
Vara Marks The Inception Of A New Chapter After The Streak Against The Sec
Ripple’s VARA approval marks an unmatched step toward mainstreaming cryptocurrency in the capital of UAE and beyond. All of these bonuses come against a backdrop of vanishing legal woes for Ripple, as the U.S. SEC has finally cataloged it as a commodity instead of a security. This ended a years-long dispute between the regulatory entity and Ripple Labs and sparked hope among investors, reflected in the large inflows of capital injected into XRP.
To shed light on the SEC conflict, it’s worth mentioning that the agency filed against Ripple Labs, accusing it of selling securities and not treating them as such. In a similar manner, the SEC called out on Ethereum for offering ETH, representing securities like stocks in their views. From the $2BN fine the SEC asked the court to oblige Ripple to pay, the penalty was reduced to around a hundred million. The case’s conclusion marks a stratospheric triumph for Ripple and opens a new chapter in XRP’s journey toward worldwide adoption.
What About The Xrp Price?
XRP’s record-breaking performance draws increasing numbers of investors to it. Light of the latest victories numbered by Ripple, the sixth cryptocurrency by market cap, strengthens its position as a leader in the crypto market.
Many investors are considering venturing into Ripple now that the company has won the last battle against the SEC. Despite the weighty inflows registered by the cryptocurrency, the price has yet to be impacted. Whales bought the dip in the first summer month and shifted around 93MN coins. Data indicates that the lawsuit’s unfolding coincided with purchasing around 130MN XRP.
Endnote
As with every cryptocurrency, events like these are welcome and beneficial for investors possessing the respective asset. Whether now is the time to invest in XRP or you should sleep on the idea more is up to you and your financial risk tolerance, so don’t make hasty decisions. XRP is not going anywhere—it’s its price that may inch up slightly.
