Ripple and XRP have been making headlines a lot lately since the SEC lawsuit came up.
Now, according to the latest reports, it seems that the United Kingdom government is cementing its position that XRP is an exchange token and not a security.
According to the latest news coming from the online publication the Daily Hodl, her Majesty’s Treasury has published a new document outlining the UK’s regulatory approach to cryptos and stablecoins.
The report classifies XRP, Ethereum, and Bitcoin as “tokens that are primarily used as a means of exchange.”
It’s important to note the fact that the so-called “exchange tokens” fall under an “unregulated” category that means they are neither e-money nor security tokens.
The HM Treasury report addressed a framework that the UK Financial Conduct Authority (FCA) laid out in 2019.
“Security tokens have characteristics akin to specified investments, like a share or a debt instrument, as set out in UK legislation. Broadly, these are likely to be tokenized, digital forms of traditional securities,” the Treasury explained.
This classification is more than vital for Ripple, considering the problems that the company has been having with the SEC.
SEC’s lawsuit “alleges XRP was an unregistered security upon its launch and remained a security to this day,” as the online publication mentioned above notes.
Tone Vays reacted to SEC-Ripple issues
In other recent news, when the whole Ripple-SEC thing blew up a while ago, Tone Vays happily hopped on Twitter to drop news about Ripple and their digital asset XRP.
It seems that the future will not be too pink for the coin.
Check out his tweet below:
About 5 years too late, but better late than ever @SEC_Enforcement, $XRP has been a security scam from day one and @Ripple brass knows it…
Bring it #Ripple army of the ‘brain dead’ !!!https://t.co/JTUr22Jho4
— Tone Vays (#EndLockdowns) (@ToneVays) December 22, 2020
Stay tuned for more news.
The post UK Treasury: XRP Is An Exchange Token, Not a Security first appeared on CryptoGazette – Cryptocurrency News.