JP Morgan: “If Ripple Wins SEC lawsuit, XRP is about to make a significant introduction”

“If the company is able to win the SEC lawsuit and trading resumes on major cryptocurrency exchanges like Coinbase, XRP will see a significant rollout.”

JP Morgan’s North America Equity Research report, released earlier this month, puts XRP in the spotlight and even suggests that the digital asset is about to be launched.

While the price of XRP has fallen in the past few days along with the rest of the cryptocurrency market, Ripple Labs has been working non-stop to attract new partners to its RippleNet network and on-demand liquidity service, thereby spreading the use of XRP. especially in cross-border payment transactions.

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The JP Morgan report began by stating, “XRP was designed to facilitate transactions on Ripple’s blockchain-based digital payments network. The benefits of the network include accelerated payments and reduced transaction fees. “

The paper mentions the 2012 founding date and co-founders Jed McCaleb (who left the company to start Stellar) and Chris Larsen (who is a co-defendant in the SEC’s XRP lawsuit).

“While traditional money transfers – most commonly SWIFT transfers – are costly and can take up to 5 working days to complete, transactions with Ripple’s XRP can be completed in as little as 3 to 5 seconds and transaction fees are as low as 0.0001 XRP. SWIFT transfers are more expensive due to the large number of intermediate banks involved, which charge both the sender and the recipient. “

The Ripple network includes more than 100 financial institutions, including Bank of America, Santander, and American Express.

Then the JP Morgan document explained the unique value of XRP compared to stablecoins, in the words of Ripple’s Senior Director of Global Operations Emi Yoshikawa.

“The role of XRP as a bridge asset in international processing does not compete with stablecoins, on the contrary, it is complementary.”

XRP, unlike stablecoins, which follow the volatility of their underlying currency, is not tied to an underlying currency.

The SEC lawsuit against Ripple is an inevitable topic of discussion for XRP. In this regard, JP Morgan is referring to the Howie test as the ultimate goal and giving away the likelihood of Ripple victory.

The Howie test states that an investment contract exists when these four conditions are met: Investment in a joint venture with the expectation that the profit will be made through the efforts of others.

“So that the SEC wins the lawsuit, Judge Sarah Netburn” […] must determine that all of the above four points are met; If it finds that one or more points have not been achieved, Ripple wins the color “.

“If the company is able to win the SEC lawsuit and trading resumes on major cryptocurrency exchanges like Coinbase, XRP will see a significant rollout.”

More news about Ripple (XRP):

Why has the XRP lawsuit fell silent?

SEC v. Ripple delisted XRP, but Jed McCaleb sold $ 2 billion in 2021: double standards?

Ripple’s profit chain analyzed, XRP lawsuit runs until spring 2022

SEC v. Ripple: What To Wait For In The XRP Lawsuit Agenda?

Ripple brings lawmakers to a fight to put an end to “SEC hostility”

Has Ripple Lied About Its XRP-Based Liquidity Platform?

Legal experts analyze SEC v. Ripple as a warning to market participants

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