Ripple's Silence on Bill Raises Regulatory Uncertainty, SEC's Shift Boosts XRP Hopes

Ripple's latest price was $, in the last 24 hours. The absence of Ripple's feedback on the Digital Asset Market Structure Bill has raised questions about its stance on the matter and the potential impact on digital asset regulations. The Senate Banking Committee, led by Chairman Tim Scott, is seeking insights from various crypto companies, including Ripple, to shape future regulatory frameworks. Ripple, being a prominent player in the digital asset space, is expected to provide valuable input, but its silence has left stakeholders uncertain about future compliance and operational strategies. The lack of Ripple's response has generated interest in how the regulatory landscape might shift without its input, as historical responses to crypto legislation have significantly influenced regulatory frameworks. Industry players are closely monitoring the situation, as Ripple's feedback could set technological precedents and affect broad industry practices.

Ripple's Chief Legal Officer, Stuart Alderoty, has publicly commended the current SEC Chair, Gary Gensler, for adopting a more balanced approach to digital asset regulation. Alderoty noted that the SEC's new stance, which includes the launch of "Project Crypto," aims to modernize securities regulations for blockchain-based finance. This initiative, which involves close coordination with Commissioner Hester Peirce’s Crypto Task Force, seeks to provide clearer guidance on token classification and on-chain finance. The project marks a notable shift, with SEC leadership now affirming that most crypto tokens are not securities. This change in regulatory tone has led to renewed speculation regarding the SEC’s ongoing legal battle with Ripple. Legal experts have noted the possibility that the agency might drop its appeal against the company. Former SEC attorney Marc Fagel indicated that both Ripple and the SEC could file to dismiss their respective appeals ahead of the August 15 status report deadline. No official filings have been made yet, but the XRP community remains alert. The SEC is currently reviewing major digital asset funds that hold XRP, including Grayscale’s GDLC Fund and the Bitwise Crypto Index Fund. Both are being considered for broader market approval. The Commission has requested public input by August 22. This review is seen as a step toward the potential approval of spot XRP ETFs, which could significantly enhance XRP’s market accessibility. The recent approval of in-kind redemptions for Bitcoin and Ethereum ETFs signals the SEC’s willingness to modernize its regulatory framework. These changes, along with a newly released 166-page federal report under the Trump administration, emphasize the growing institutional acceptance of the asset class and the potential for a resolution in the Ripple case.