Craig Wright believes XRP is a security, calls it a scam
Craig Wright, who claims himself to be Satoshi Nakamoto tweeted on Sunday a few points to bring out his version of why he believes Ripple (XRP) is a security.
XRP is one among the few that showcase a bullish momentum and Wright calls an “illegal unregistered security platform to take down” in terms with reports made by the Securities and Exchange Commission (SEC) on ICOs, which claims that ETH has no use-cases.
He also mentioned that SEC will target XRP next, to label it a security as it works as an unregistered token. This will make the prospectus of the cryptocurrency a sham.
Wright stresses on the cryptocurrency being a security as it isn’t a utility token. He considers something that is exchanged for profit not a utility token and he further states that XRP expects to make a profit through trading.
“For XRP not to be a security, it will need to be a real utility offer. IF something is exchanged with expectations of profit, it is not a utility token. XRP is a tradable good that is sold under the expectation of profit. That in itself makes it a security,” tweeted Wright.
Soon, a user opposing Wright pointed out that the title is the responsibility of the SEC to whether state it as a security or not. The user also mentioned that the tweet came from Wright as a “sell-order”
“No, actually, it is not. I would not touch XRP, sell or buy nor will I ever. The definition of security is already defined by the courts. XRP is squarely in that definition,” replied Wright to the user on Twitter.
Wright also called it the biggest scam in the crypto world. He feels that the cryptocurrency is sold to noobs who want to get rich without working.
“XRP is the biggest scam in the space. I look forward to when this sham offer is revoked. This idea of issuing non-registered securities and selling to noobs who want to get rich without working is nothing new and neither will be the take-down,” he tweeted.
Image via Shutterstock
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