SEC is said to study XRP classification as a commodity

The US Securities and Stock Exchange Committee (SEC) is said to be studying XRP as a commodity, not a guarantee.

This discussion is said to have emerged amid continuous negotiations between the agency and the Ripple laboratories, which may indicate a shift in its organizational position.

SEC weighs XRP commodity

According to the informed quote By the top of the Fox Charles Gasparino, SEC re -evaluates XRP tools and market behavior to determine whether they are more compatible with goods like ETH.

The correspondent wrote: “One of the issues that are evaluated by the committee is whether Xrp is $ continues to trade and has a tool that makes it a more commodity, not a guarantee.”

He added: “I was told that the example of ETHEREUM is the key,” and revealed that the organizer compares the XRP path with ETH. The latter was released by offering a preliminary currency (ICO), but it moved to a good smoker from Action SEC. The agency is now seeking to determine whether XRP has evolved in a similar way.

“The Supreme Education Council believes that ETH is trading as a pure commodity. They are trying to determine whether the committee can submit this issue using $ XRP, claiming Gasparino.

This discussion comes as part of the broader settlement conversations between Ripple and SEC. The Financial Supervision Authority previously won a partial victory over the encryption payment company, where it received a fine of 125 million dollars and a permanent order restricting the XRP institutional sales.

However, the sources of the issue claim that the Ripple Legal Team is paying for a more appropriate settlement conditions, on the pretext that the recent organizational transformations justify the penalties imposed against the company.

According to lawyers, if the new SEC driving intends to reset the enforcement policies of the encryption companies, Ripple should not be punished due to previous procedures. Earlier, it was reported that these efforts to amend the terms of the settlement were the main reason behind the delay in resolving the case.

A proposal for the future XRP

Meanwhile, the Maximilian Staudinger’s proposal to set XRP as a strategic financial asset another added to the discussion.

for him PlansIt was presented to the recently created SEC Crypto, determining how the combination of the distinctive symbol in the American financial system could open $ 1.5 trillion of liquidity and saving $ 7.5 billion annually in transactions costs.

Staudinger recommends a quick implementation of XRP for government transactions, banking liquidity, and even the potential National Bitcoin reserves.

Amid these developments, XRP witnessed a mixed performance in the market. Despite an increase of 2.6 % in the past 24 hours, its 13 % decrease in the past week means that it has given performance compared to the broader encryption market, which decreased by 6.40 %.

However, the fully diluted evaluation (FDV) has now exceeded ethereum. At the time of writing this report, it amounted to $ 229.2 billion, compared to $ 228.1 billion of ETH.