Crypto Scoop: Ripple XRP’s Triumph Spurs Regulatory Momentum

Last week's legal triumph of Ripple XRP resulted in substantial price gains for top cryptocurrencies. This week, the momentum created by the ruling drives forward regulatory initiatives in the crypto industry. In this edition of the crypto scoop, we review:

• Price moves of top cryptocurrencies
• Regulatory momentum sparked by the XRP ruling
• Nigeria’s emergence as Africa’s crypto powerhouse.

Price Moves and Gains Of Top Cryptocurrencies

Last week marked a significant turning point for Ripple XRP as it emerged victorious in a 3-year lawsuit against the SEC. This legal triumph sent shockwaves through the cryptocurrency market, leading to substantial price gains for top cryptocurrencies. Notably, Bitcoin surged to an impressive $31,594, while ETH experienced a soaring value of $2,000. Riding on the tide of success, XRP became the fourth-largest cryptocurrency by market capitalisation.

BTC and ETH witnessed some correction this week, trading slightly below $30,000 and $1,900, respectively. In contrast, Ripple XRP held onto its previous week's gains, maintaining a steady trading price of $0.78.

Solana also made headlines with positive developments in its network. Unlike the network outages experienced in 2022, Solana demonstrated significant growth, boasting only one outage in the first half of 2023. The performance report highlighted this remarkable progress, which showcased impressive uptimes and a favourable ratio of non-voting-to-voting transactions, signifying its robustness and stability.

Ripple's XRP Ruling Sparks Momentum for Crypto Regulation and Adoption

The recent court ruling favouring Ripple's XRP token has been hailed as a significant milestone for the cryptocurrency industry. JMP Securities analysts emphasise that the ruling provides much-needed clarity and defence regarding the classification of securities, aligning with industry arguments. Stu Alderoty, chief legal officer of Ripple Labs, believes that U.S. banks may turn to XRP for cross-border transactions following the court ruling.

SEC chair Gary Gensler expressed his disappointment with the court's declaration that sales of XRP tokens on retail exchanges are not securities offerings. He mentioned that the SEC is still assessing the case's outcome. In response to the court ruling, several U.S. lawmakers called on Congress to pass crypto legislation, criticising the SEC's regulation by enforcement approach for creating uncertainty and harming investors.

United States Senator Cynthia Lummis took to Twitter to highlight the importance of Judge Analisa Torres' ruling. She stated that it underscores the urgent need for Congress to establish a clear regulatory framework for cryptocurrencies, prioritising consumer protection.

As the industry seeks regulatory certainty, U.S. lawmakers introduced the Financial Innovation and Technology for the 21st Century Act to establish a much-needed regulatory framework for the digital asset space, covering definitions and exemptions and outlining a registration path for digital asset intermediaries.

In another development, Presidential Candidate Robert F. Kennedy boldly pledged to back the U.S. dollar with bitcoin, gold, silver, and platinum if elected. He aims to strengthen the country's official currency amid concerns about its future stability.

Nigeria Emerges as Africa's Crypto Powerhouse

A recent Coingecko report reveals that in the first half of 2023, six countries have dominated Africa's interest in cryptocurrency, with Nigeria taking the lead by a significant margin. Between January 1 and July 4, Nigeria accounted for an impressive 66.8% share of the continent's overall crypto interest, surpassing second-ranked South Africa by nearly eight times.

The remaining five countries, namely South Africa, Morocco, Ghana, Egypt, and the Ivory Coast, collectively contributed to 23.8% of Africa's crypto interest during the same period. However, Nigeria's dominant position in both user curiosity and trading volumes solidifies its status as the primary crypto nation in Africa.

The report attributes Nigeria's remarkable crypto interest to various factors, including inadequate traditional finance infrastructure, high inflation rates, and currency depreciation. These conditions have driven Nigerian residents towards cryptocurrencies as an alternative and favoured financial asset.