Oregon AG Suits 31 Tokens, Including XRP, As Unregistered Securities

On April 19, 2025, Coinbase revealed that the Oregon Attorney General had filed a lawsuit, alleging that 31 cryptocurrency tokens, including XRP, Solana (SOL), and others, are unregistered securities. This legal action is part of a broader trend of increased regulatory scrutiny in the cryptocurrency sector, indicating a more aggressive approach to token classification. The Oregon Attorney General's complaint extends the scope of securities to more tokens than the Securities and Exchange Commission (SEC) did in its earlier case against Coinbase, with a total of 31 tokens, including well-known ones like UNI, AAVE, FLOW, and LINK, being called into question.

The inclusion of XRP in this list is particularly significant, as it contradicts a ruling made by Judge Analisa Torres in 2023. Judge Torres had determined that only the sale of XRP to institutional investors met the definition of a security under U.S. law. This ruling provided a partial victory for Ripple, which had been engaged in a prolonged legal battle with the SEC over the status of XRP. The Oregon Attorney General's lawsuit, however, challenges this distinction, potentially complicating Ripple's legal strategy.

Paul Grewal, Coinbase’s Chief Legal Officer, swiftly dismissed the Oregon Attorney General’s lawsuit, highlighting that the complaint failed to address Judge Torres’ decision on XRP. Grewal emphasized that the Oregon Attorney General’s complaint overlooked the critical aspect of the legal landscape, which could undermine the claims made against Ripple and other tokens. The complaint from the Oregon Attorney General represents another obstacle for XRP, following a recent 60-day pause in the Ripple-SEC case in hopes of reaching a settlement. While the outcome of the SEC case remains uncertain, the Oregon Attorney General’s move adds a layer of complexity, especially considering the differing perspectives on what constitutes a security in the crypto space.

The legal environment for XRP remains uncertain, with the Oregon Attorney General’s lawsuit adding another layer of complexity to Ripple’s ongoing regulatory battle. While Judge Torres’ ruling in 2023 may have provided some clarity, the continued scrutiny from various legal entities suggests that the question of whether XRP is a security is far from settled. For XRP investors and traders, the focus will likely remain on key price levels and whether XRP can break out of its downtrend. A sustained rally above $2.4 would be a strong signal for potential bullish momentum, but unless the token can gain regulatory clarity and overcome the legal challenges it faces, price action may continue to be muted in the short term. As Ripple prepares for further legal proceedings, including its case with the SEC, all eyes will be on how these developments influence XRP’s market trajectory. Until then, the token remains in a state of uncertainty, with its security status and market prospects both hanging in the balance.