Get the scoop on finance - sign up for mobile alerts
Altcoins
| On
August 15, 2019

Ripple Says ‘Final Guidance’ From UK Regulator Hands XRP Long-Awaited Regulatory Clarity

By Daily Hodl Staff

Ripple’s global head of government relations says a “final guidance” issued by the UK’s Financial Conduct Authority is offering long-awaited regulatory clarity for XRP in the country.

On July 31st the FCA published its final guidance defining which crypto asset activities it regulates. It lists XRP alongside Bitcoin and Ethereum, which have both been declared by the agency as exchange tokens – not securities.

“The FCA is therefore publishing the Final Guidance as consulted on with some amendments to provide greater clarity on what is and isn’t regulated. This includes making the important distinction as to which cryptoassets fall inside the regulatory perimeter clearer.

ADVERTISEMENT

Consumers should be mindful of the absence of certain regulatory protections when considering purchasing unregulated cryptoassets. Unregulated cryptoassets (e.g. Bitcoin, Ether, XRP etc.) are not covered by the Financial Services Compensation Scheme and consumers do not have recourse to the Financial Ombudsman Service.”

Ripple’s Michelle Bond first brought the new document to light on Twitter.

“The FCA now lists XRP in the company of BTC and ETH, both of which were previously classified as exchange and/or utility tokens (and not a security token).

This is exactly the kind of regulatory clarity the industry needs.”

ADVERTISEMENT

Ripple is battling a federal court case filed by a number of XRP investors who accuse the company of selling the digital asset as an unregistered security.

The investors recently filed an amended complaint against the fintech company, claiming that the development of the XRP ledger and the success of XRP are dependent on Ripple’s efforts.

Ripple has until September 19th to file its response.

[the_ad id="42537"] [the_ad id="42536"]
&nbsp
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.