As US blockchain company Ripple continues its legal battle against the US Securities and Exchange Commission (SEC), the fintech intends to build its legal strategy on a claim that its token, Ripple (XRP), cannot be considered a security without contracts as there is no "investment contract" that would grant rights to investors. LBRY was initially charged by the SEC in March 2021 for selling securities and failing to register with the commission. The judge’s ruling found that investors in LBRY’s native token, LBC, were reasonably likely to take company communications as evidence that they could profit from owning its token. Jan 12, 2020 · Therefore, token holders are not dependent on Ripple, or that that matter, any party, for speculative profiteering. “I think it’s very clear that XRP is not a security. It exists independently of the company, Ripple. If Ripple, the company shut down tomorrow the XRP ecosystem would continue to exist. It’s an indepenent open source technology.”. Grayscale Investments has opted not to provide on-chain proof of reserves or wallet addresses to demonstrate the underlying assets of its cryptocurrency products due to "security concerns." Grayscale provided details. According to the SEC, Ripple’s native token XRP is unregistered security and also violated securities law by selling more than $1.2 billion worth of unregistered security publicly. At the time of writing this article, the price of the XRP token is $0.543 and this price is 28.85% high over the last 24 hours’ trade price.