14
Jan
2021

XRP fails to recover when SEC’s Chief Enforcement Officer leaves post

XRP lost value on a day when the rest of the market kicked off a considerable recovery when the SEC enforcer behind the $1.3 billion lawsuit against Ripple Labs announced its exit.

XRP fails to recover when SEC Enforcement Director leaves postNOTÍCIAS

The price of the XRP (XRP) remained relatively unchanged on Thursday, January 14, even as the wider market for cryptomoeda triggered a recovery that saw more than $150 billion flood into global market capitalisation.

Earlier this week, the US Securities and Exchange Commission Bitcoin Freedom  announced the imminent departure of Marc P. Berger, Acting Director of the commission’s Enforcement Division. The outgoing director was in office to initiate the $1.3 billion SEC case against Ripple Labs.

Berger stepped down at the end of the month, after only five months in office. Previously, he had led the New York Regional Office as a director since 2017, before being appointed to the oversight division in August 2020.

The official announcement published on the SEC’s website on January 12 shows that the outgoing director has overseen enforcement actions against several companies and corporate entities related to a multitude of financial crimes and misconduct.

Including Telegram Group Inc, which was ordered to pay investors more than $1.2 billion after what was considered an illegal sale of tokens. Berger was in charge of the recent lawsuit against Ripple, in which Ripple Labs‘ CEOs are accused of making an unregistered $1.3 billion bond offering. The case will continue in Berger’s absence, with the pretrial date set for February.

Berger has also filed suit against JP Morgan and Robinhood for market misconduct, as well as Deutsche Bank AG, Herbalife and Stryker Corp for violations of the Foreign Corrupt Practices Act.

After the collapse of the XRP price by 76% over December 2020, the currency was able to recover 68% of its value, but the currency’s current valuation of US$0.29 remains somewhat off the recent high of US$0.78 in November.

The currency’s price remained relatively stable on Thursday, despite the general direction taken by the rest of the market. The current price of the $0.295150 XRP is 1.3% lower than 24 hours earlier and leaves the XRP with a market capitalization in the region of $13 billion.

Daily XRP/USD price chart. Source: CoinMarketCap.com
Following the 30% increase in Polkadot (DOT) early Thursday morning, which pushed it to fifth place by market capitalisation, another peak of similar magnitude would see the XRP displaced from fourth place.

The price of the Bitcoin (BTC) returned to the range above US$38,000 during Thursday’s recovery, while the Ether (ETH) gained 11.4% to return the price of the currency to the US$1,170 range.

Translated with www.DeepL.com/Translator (free version)

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