[trog]

> '''Having considered the economic reality of the Programmatic Sales, the Court concludes that the undisputed record does not establish the third Howey prong. Whereas the Institutional Buyers reasonably expected that Ripple would use the capital it received from its sales to improve the XRP ecosystem and thereby increase the price of XRP, Programmatic Buyers could not reasonably expect the same.'''

I don't get this - why were Programmatic Buyers buying it then? I would agree if Programmatic Buyers were buying XRP to immediately use to then buy pizza or whatever, but nobody in cryptoassets does this.

Every individual person buying XRP seems to me to be buying it for the same reason as the institutional investors.

[peyton]

Different counterparties. If I buy XRP from you, it’s absurd for me to believe Ripple will use the money I just gave you to improve the XRP ecosystem.

[trog]

Hmm, I guess that makes sense - I had forgotten that 'institutional investors' were probably buying direct from Ripple. But if I tie it back to stocks, I guess I see institutional investors here as the ones buying at IPO, but individual investors are buying from each other on an exchange are still buying 'securities', are they not? Maybe they just are not that analogous.

[omarfarooq]

So what if Ripple listed the XRP for sale through the orderbook?