XRP News Today: India's XRP Property Ruling Could Shape Global Crypto Legal Standards

India's Madras High Court has recognized XRP as a form of property, marking a significant legal precedent for virtual digital assets in the country. The ruling, issued in the case of Rohitikumari v. Zanmai Labs Pvt. Ltd., addresses the legal status of cryptocurrencies following a cyberattack on the WazirX exchange in 2024, which froze an investor's 3,532.30 XRP coins, according to Edgen Tech. The court emphasized that while XRP is intangible and not traditional currency, it satisfies key property attributes such as transferability and exclusive control. This classification aligns with India's Income Tax Act, which defines cryptocurrencies as Virtual Digital Assets (VDA), and opens new avenues for legal recourse in disputes involving digital assets.

The decision underscores XRP's growing institutional relevance. With spot XRP exchange-traded funds (ETFs) under consideration by the U.S. Securities and Exchange Commission (SEC), potential approval could drive structural demand from asset issuers seeking to acquire XRP for fund seeding, according to The Motley Fool. Analysts suggest that such institutional adoption, coupled with corporate treasuries and tokenized real-world asset (RWA) integrations on the XRP Ledger (XRPL), could create durable demand, akin to Bitcoin and Ethereum. Meanwhile, Ripple's stablecoin RLUSD, which has surged to a $900 million market cap, is being adopted for cross-border payments and DeFi applications, further solidifying the XRP ecosystem's utility, as reported by CryptoPotato.

However, the court's ruling is not without limitations. It applies as an interim order to a specific case and may not extend to all XRP wallets or tokens, as explained by Cointelegraph. The classification of XRP as property rather than currency leaves ambiguity for other virtual assets, and enforcement depends on exchange custody practices. Additionally, India lacks a comprehensive regulatory framework, and future legislation could override this judicial interpretation.

The ruling's broader implications extend to global crypto jurisprudence. By affirming XRP's property status, the Madras High Court may influence how other jurisdictions address digital asset rights, particularly in cross-border disputes. This legal clarity could bolster investor confidence, especially as XRP's market dynamics evolve with ETF approvals and institutional partnerships.

Despite these advancements, challenges remain. The XRP Ledger's adoption as a treasury asset—where users hold significant wealth—hinges on scalable infrastructure and regulatory alignment, according to TradingView. As the crypto market matures, the interplay between judicial precedents, regulatory frameworks, and technological innovation will shape XRP's trajectory in India and beyond.