Ripple Legal Chief Says XRP’s U.S. Regulatory Status Remains Clear

Ripple Chief Legal Officer Stuart Alderoty said XRP’s regulatory position in the United States remains clear, citing a 2023 federal court ruling and subsequent guidance from federal agencies.

Alderoty Points to Court Ruling and Agency Guidance

Alderoty argued that years of litigation and regulatory discussion have established a clearer legal framework for XRP. He specifically referenced a 2023 decision by a U.S. federal court in the Securities and Exchange Commission’s case against Ripple.

The ruling distinguished between different types of XRP sales, finding that certain institutional transactions met the criteria for an investment contract while other transactions, including some programmatic sales on digital asset exchanges, did not satisfy the same standard.

Federal Interpretation Identifies XRP as a Digital Commodity

Alderoty also pointed to a joint interpretation issued by the SEC and the Commodity Futures Trading Commission in March that identified XRP as a digital commodity. The interpretation forms part of broader federal efforts to clarify how digital assets should be classified and regulated in the United States.

While regulatory treatment can depend on the structure and circumstances of a transaction, Alderoty said the available court precedent and agency guidance support Ripple’s view that XRP’s status is on settled ground.

Regulatory Debate Continues

The classification of digital assets remains a central issue for the U.S. cryptocurrency industry. Court decisions, agency interpretations and future rulemaking are expected to continue shaping the regulatory framework for tokens, exchanges and blockchain companies.