- Gary Gensler is set to resign as the SEC Chair on the 20th of January, paving the way for new SEC leadership.
- Per Ripple’s CEO, Trump’s win is already having a positive impact on the company.
Ripple [XRP] has gained by 15% year-to-date to trade at $2.40 at press time. Following these gains, the token is already outpacing most cryptos, including Bitcoin [BTC].
XRP is poised for significant price movements this month due to several developments that could bode well for its legal status.
In October last year, the US Securities and Exchange Commission (SEC) filed an appeal in a four-year-long legal battle seeking to clarify XRP’s status as a security or a commodity.
While the appeal dampened XRP’s outlook at the time, an upcoming shift in the SEC’s leadership has renewed optimism of a positive outcome.
Will Gensler’s resignation impact the SEC case?
The current SEC Chair, Gary Gensler, is expected to resign from his position on the 20th of January.
Gensler announced his departure from the regulatory body in late November, in a move that was seen as an end to the SEC’s anti-crypto stance.
Trump has already picked former SEC Commissioner Paul Atkins as the next SEC Chair. Atkin’s appointment was received well by the crypto community.
Ripple’s CEO, Brad Garlinghouse, noted that he would,
“Bring common sense back to the agency.”
This change in leadership could mark a turning point for XRP and possibly cement XRP’s non-securities status.
“Trump effect” is good for Ripple
According to Garlinghouse, Trump’s election win is already having a positive effect on Ripple.
In a recent X (formerly Twitter) post, he revealed that in the last six weeks of 2024, Ripple had signed more deals than it did in the previous six months, noting,
“2025 is here and the Trump bull market is real. For Ripple, this is even more personal after Gensler’s SEC effectively froze our business opportunities here at home for years.”
While responding to Garlinghouse’s tweet, John Deaton noted that Ripple’s growth was a testament to the previous damage caused to U.S. businesses because of a lack of regulatory clarity.
Deaton noted that besides dealing with regulatory uncertainty, Ripple was also a victim of government overreach and selective enforcement.
Is XRP poised for gains?
Ripple’s legal battle with the SEC has stifled its price performance over the years. However, with Trump’s win already boding well for Ripple, the token could rally once the new SEC Chair assumes office.
Moreover, positive developments in the SEC vs. Ripple case have previously boded well for price. As such, if the appeal is dropped, it could precede another uptrend.
