What might this mean for the Altcoin market going forward?
As you likely have heard by now, the SEC fired a shot across the bow of the Crypto Industry yesterday with their lawsuit against Ripple.
While this is bad news for Ripple/XRP, it may have implications for the rest of the crypto market as well.
Will this be a one off event where the SEC just goes after the lowest of the low hanging fruit in terms of violating securities laws or will this be the beginning a major crackdown on altcoin projects?
Back in 2018 the SEC Commissioner (Jay Clayton) said something to the effect that in their eyes, just about every altcoin project they had looked at had violated securities laws in one or another.
While he refused to name names, the way he said it and the context made it sound like they were not fans of just about every altcoin project in existence at that time.
From that context, the current environment could end up getting a whole lot worse over the coming months.
However, keep in mind that XRP and Ripple are different than most cryptocurrency projects out there.
As many point out, it doesn't run on a decentralized blockchain and instead they 'pre-mined' all their coins and have slowly been releasing them into the market.
Again, something very different than many crypto projects out there.
However, in the filing from the SEC yesterday, I did notice that the SEC mentioned the fact that Ripple paying for exchange listings for their XRP token was part of the problem...
Anyways, lets get a discussion going, what does this mean overall for the crypto industry and specifically the altcoin industry going forward?
How might this impact HIVE?
Stay informed my friends.
-Doc
I think you're onto something but I don't think anything in the XRP lawsuit would apply to hive. I think if they succeed the SEC can use that as a blueprint to go after the many ico's of the past.
Which would not include hive/steem/blurt...
I thought every coin has to pay to be listed on exchanges
Cryptocurrency exchanges are charging between $50,000 and $1 million to list initial coin offerings, according to a Business Insider investigation.
Yea that likely is only a problem because they already decided XRP is a security. So, by paying for an exchange listing, this was how they distributed their security. At least that is the argument from the commission.