Ripple effect! XRP surges after U.S. judge rules it is not a security in… some instances

SEC Ruling – July 2023

XRP, the native token of the blockchain company Ripple, soared more than 60% on Thursday after a U.S. judge delivered a major victory to the firm in its legal battle with the Securities and Exchange Commission (SEC).

The SEC had sued Ripple in December 2020, alleging that it had raised over $1.3 billion through the sale of XRP in an unregistered securities offering. The SEC claimed that XRP was an investment contract that gave buyers the expectation of profits based on Ripple’s efforts.

However, the Judge ruled that XRP was not a security “on its face” and that some aspects of its sale did not violate the federal securities laws.

The judge drew a distinction between the sales of XRP to institutional investors, which she said could constitute investment contracts, and the sales of XRP to the general public on exchanges, which did not.

Argument

The judge also denied Ripple’s argument that the SEC lacked jurisdiction over XRP transactions because they were not domestic, and agreed with the SEC that the Howey test, a four-pronged criteria to determine whether an asset is a security, applied to cryptocurrency transactions.

The ruling was welcomed by Ripple and its supporters, who argued that XRP was a utility token that facilitated cross-border payments and did not depend on Ripple’s efforts for its value.

Ripple’s chief legal officer, reportedly tweeted: “A huge win today – as a matter of law – XRP is not a security. Also, a matter of law – sales on exchanges are not securities. Sales by executives are not securities. Other XRP distributions – to developers, charities, and employees- are not securities.”

A lawyer representing over 19,000 XRP holders who intervened in the case, reportedly called on U.S. exchanges to relist XRP in solidarity with the decision.

Crypyo boost

The ruling also boosted the sentiment in the broader crypto market, as it suggested that the SEC did not have unlimited authority over digital assets and that some tokens could escape the securities classification.

Cryptocurrency — ‘Have you seen the news? Crypto *might possibly could* be going manstream.’ ‘Oh WOW! – What’s crypto?’

Crypto-related stocks such as Coinbase and crypto-coins such as ADA, HBAR, BITCOIN & ETH surged following the news.

More to come?

However, the case is not quite over yet, as the SEC said it would continue to review the decision and pursue its claims against Ripple for the sales of XRP to institutional investors.

The SEC also responded to the judge’s ruling by saying that it did not change its position that XRP was a security and that it would seek to prove that Ripple violated the securities laws in certain circumstances.

The outcome of the case could have significant implications for the crypto industry, as it could set a precedent for how other tokens are regulated and how other lawsuits are resolved.

July 25, 2023September 12, 2025

House Prices up 0.1% in June say Nationwide Building Society

UK house prices have defied expectations by increasing slightly in June 2023 but annual prices fell at the fastest rate since 2009 as soaring mortgage costs took a toll on the market, according to Nationwide Building Society.

The surprise monthly rise of 0.1% reversed a 0.1% fall in May 2023 and surprised economic forecasts of a 0.3% fall! It pushed the average cost of a house in the UK up slightly to £262,239. House prices were 3.5% lower in June 2023 compared with a year earlier, the sharpest rate of decline since 2009.

The sharp increase in borrowing costs is likely to exert a significant drag on near-term housing market activity

EZPC LOANS LTD. ‘How does 6% sound to you?’

It is important to note that the housing market is subject to fluctuations and can be influenced by various factors such as economic conditions, government policies, inflation, interest rate increases and global events.

July 25, 2023September 12, 2025

Virgin Galactic rocket plane enters commercial service

It’s taken nearly 20 years, but Sir Richard Branson has finally begun commercial space flights with his Virgin Galactic rocket ship, Unity

On 29th. June 2023, Sir Richard Branson’s Virgin Galactic successfully launched its first commercial flight to the edge of space. The flight was carried out by the company’s SpaceShip Two space plane Unity with a special passenger on board: the company’s billionaire founder Richard Branson. Branson was accompanied by three crewmates and two pilots on the historic flight.

The flight took off from New Mexico in the US after being carried into launch position by Virgin Galactic’s carrier plane, Eve. The rocket ship reached an altitude of 53.5 miles above Earth’s surface before gliding back down to land at Spaceport America .

The vehicle flew high over the New Mexico desert on Thursday to enable three Italian astronauts to conduct science experiments in weightless conditions. Sir Richard will now begin sending up the 800 or so space flight customers who’ve bought tickets to ride on Unity.

72 minute mission

The 72-minute mission took off from Spaceport America at 08:30 local time (14:30 GMT) and was livestreamed around the world.

Just under an hour into the mission, after reaching an altitude of 13,600m (44,500ft), the carrier plane, Eve, then released Unity to ignite its engine and boost up to the edge of space. At the top of its climb, the rocket ship was at an altitude of 279,00ft (85km), touching the edge of space.

Success

This successful launch marks a major milestone for Virgin Galactic and the space tourism industry as a whole. With this achievement, Virgin Galactic has joined a small club of companies that can ferry paying customers to space, including Elon Musk’s SpaceX and Jeff Bezos’s Blue Origin.

Sir Richard Branson’s Virgin Galactic has made history with its successful rocket ship launch on June 29th, 2023. This achievement marks a significant milestone for the space tourism industry and opens up new possibilities for commercial space travel in the future.

July 25, 2023September 12, 2025

Oh no, not again!

UK Interest rate 5% and rising

The current interest rate in the UK is 5% as of June 2023.

This is the Bank Rate set by the Bank of England (BoE), which influences the interest rates that other banks charge borrowers and pay savers. The BoE has raised the Bank Rate 13 times in a row from 0.1% to 5% in a bid to control inflation, which is the rate at which the prices of goods and services increase over time. The BoE has a target of keeping inflation at 2%, but the current inflation rate is 8.7%, which is much higher than the target. This means that the purchasing power of money is decreasing and people have to pay more for the same things.

Summary

The Bank of England has increased the base rate to 5% – up from 4.5% in June 2023
It’s a bigger increase than most forecasters expected
The last time the base rate was 5% or higher was in 2008
Higher interest rates are intended to lower inflation, by giving mortgage-holders and consumers less to spend
The government’s target is to have inflation down to 5% by the end of the year
Rishi Sunak said: ‘I always said this would be hard – and clearly it’s got harder over the past few months’ – I am totally, 100%, on it, and it’s going to be OK‘
Seven of the nine members of the bank’s committee voted for the 5% rate – two wanted no change at all

Bank of England mission statement

Promoting the good of the people of the United Kingdom by maintaining monetary and financial stability.

Well, the BoE has clearly done a good job here then with the UK interest rate now at 5%, again… and inflation at 8.7% after peaking at 11.1% in November 2022, a 41 year high! Great job!

And the UK PM said, ‘I always said this would be hard – and clearly it’s got harder over the past few months. I am totally, 100%, on it, and it’s going to be OK‘.

That’s good to know then – it’s going to be OK – so reassuring for borrowers! It’s going to be OK, so don’t worry!

Sorry PM, but that is so weak it’s bordering pathetic. Weren’t you the chancellor too?