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The SEC-Ripple Lawsuit Could Change Crypto – Metacade could be the Solution
HomeNewsThe SEC-Ripple Lawsuit Could Change Crypto – Metacade could be the Solution

The SEC-Ripple Lawsuit Could Change Crypto – Metacade could be the Solution

News Desk
News Desk
January 31st, 2023
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The Securities and Exchange Commission (SEC) has been locked in a court battle with the Ripple foundation - the creators of the XRP crypto token. The charges brought by the regulator claim that XRP is a security and should be classified as such. The case has the ability to change the face of the crypto industry. We’ll explain more in this article and also discuss why projects like Metacade are a solution.

Why is the SEC vs Ripple Important?

The SEC case was launched in December 2020 and has added some bearish price action to XRP. The accusations were logged after coin releases by Ripple executives, where they made a public sale of coins for cash and money to pay for some operating expenses of the projects.

The SEC saw that this was similar to a listed company selling stock to raise capital. If Ripple loses this case, then many more cryptos could be under threat of a similar ruling. The Howey Test states that a security is “an investment of money in a common enterprise with profits to come solely from the efforts of others.” For XRP that means that the coin is trading on exchanges with the Ripple company building the project.

Recent developments have given hope to XRP investors that Ripple can win the case. Previous comments from a former director of the SEC have played a big part in the proceedings. The director had said that Bitcoin and Ethereum were not securities due to their decentralised nature.

Why Metacade is a Solution for Investors

Metacade is a new Web3 community for gamers and cryptocurrency enthusiasts where they can socialise and collaborate. The project is built on a blockchain arcade design and aims to create a setting for casual gamers and serious play to earn enthusiasts. Metacade will be the world’s first community-driven, P2E arcade and its investors can have governance votes on its future.

Although the project has its own token in the form of MCADE, investors are not relying “solely on the efforts of others”. They are voting on project developments and helping build the platform by supporting the gaming element. Although there is staking available for the MCADE coin, this is for a share of future revenues and the dynamics could be tweaked to satisfy any rule change.

Why Should you Invest in Metacade?

Last year was the year of play to earn in cryptocurrency. Axie Infinity was one of the stars with 2.7 million daily users at its peak. Despite a slump in the bear market to 110,000, those gamers didn’t just pack up and go away. They are still around waiting for the next big thing. At its peak, the AXS token was worth $160, and gamers were making more than they could with a day job.

The crypto bear market changed that earning model but Metacade could be a longer-term option. Axie shrunk because it’s a single gaming title. Metacade will bring a stream of titles to the blockchain. That could keep a solid floor under the price and lead to a healthier gaming and earning ecosystem.

Conclusion

The XRP lawsuit against Ripple has been a weight on the coin over the last 18 months. The ruling on whether XRP is a security could affect most of the crypto industry and see them having to adjust to new rules. For investors, it would be wise to keep an eye on projects that can avoid the glare of the SEC.

Even if projects have a tradable token, they could, for example, adjust the utility or change the reward system to NFTs. Metacade has a fresh idea that can breathe new life into last year’s booming sector and now could be an excellent time to position for the return of the bulls.

You can buy Ripple on eToro here.

You can participate in the Metacade pre-sale here.

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News Desk
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