XRP News: Proposal to SEC Suggests Classifying XRP as Payment Network for Major Financial Benefits

XRP News: Proposal Seeks SEC Settlement by Classifying XRP as Payment Network

On March 14, Maximilian Staudinger presented a proposal to the U.S. Securities and Exchange Commission (SEC) suggesting the use of XRP as a key financial tool in the U.S. economy. The proposal highlights how XRP could significantly benefit the banking system and the country’s financial health by unlocking up to $1.5 trillion tied up in Nostro accounts. By using XRP instead of the current SWIFT system, banks could free up 30% of this capital and reinvest it.

Ripple CTO Reveals Why RLUSD Stablecoin Can Be Clawed Back

Ripple CTO David Schwartz has confirmed that the RLUSD stablecoin can be frozen or clawed back. This ensures the issuer’s legal obligations remain accurate, especially when affected by external factors like court orders. The discussion began when legal expert Jeremy Hogan questioned whether stablecoins like RLUSD could be frozen after transfer. Schwartz explained that RLUSD includes a clawback function to maintain compliance, allowing Ripple to align on-ledger balances with off-ledger legal requirements. This feature was implemented due to regulatory requirements.

Ripple Lawsuit News: SEC to Decide if XRP Deserves Same Treatment as Ethereum

The legal battle between the U.S. Securities and Exchange Commission (SEC) and Ripple is nearing an end, with a settlement potentially coming soon. Ripple’s legal team is negotiating for better terms after a court ruling in August 2023 imposed a $125 million fine and banned the company from selling XRP to institutional investors. The delay in settlement is due to Ripple’s desire to change the court decision’s terms, arguing that if the SEC is easing up on other crypto companies, Ripple should not still face penalties.

Ripple Secures Full Regulatory Approval in Dubai

Ripple has secured approval from the Dubai Financial Services Authority (DFSA) to offer regulated crypto payments and services within the Dubai International Finance Centre (DIFC). This approval marks Ripple’s first regulatory license in the Middle East and allows it to provide its compliance-first global payments product to businesses in the UAE, tapping into the region’s $400 billion-plus international trade market. Ripple established its Middle East headquarters in DIFC in 2020, with 20% of its global customer base operating in the Middle East.