The U.S. Securities and Exchange Commission (SEC) has sought permission to appeal a ruling concerning Ripple's XRP sales through exchanges. This appeal specifically targets the judgment that Ripple's XRP sales did not breach securities law, arguing that retail investors' expectations differ from institutional ones when purchasing from Ripple directly.

Cryptocurrency exchange Bitget has decided to enhance its know-your-customer (KYC) requirements for its users. Effective from September 1, all new users will need to complete level-one KYC verification to deposit and conduct trades on the platform. 

Despite recent suggestions that the enthusiasm around Bitcoin NFTs (Non-Fungible Tokens) has waned, Ordinals, a type of inscription on the Bitcoin network, continue to be a major driver of activity.

Top stories in the Crypto Roundup today:

• SEC Recommends Appeals Court Examination for XRP Verdict
• Bitget Enhances KYC Requirements to Align With Regulatory Mandates
• Ordinal Inscriptions Continue to Drive Bitcoin Activity

SEC Recommends Appeals Court Examination for XRP Verdict

The U.S. Securities and Exchange Commission (SEC) has sought permission to appeal a ruling concerning Ripple's XRP sales through exchanges. This appeal specifically targets the judgment that Ripple's XRP sales did not breach securities law, arguing that retail investors' expectations differ from institutional ones when purchasing from Ripple directly.

The SEC's appeal emphasizes the legal determinations surrounding investment contracts based on facts. The main legal query is whether sales on crypto trading platforms can generate expectations of profits based on third-party efforts. This question is pivotal in several ongoing cases, as such, the ruling by the Second Circuit could set precedent for future cases.

The outcome of this appeal could influence other cases spearheaded by the SEC, including those against Coinbase and Dragonchain, among other legal issues like bankruptcies. While the SEC's contention primarily revolves around the sales of XRP, it clarified that it didn't argue the underlying asset was inherently a security. 

Ripple has until September 1, 2023, to respond to the SEC's motion. If the interlocutory appeal is approved by Judge Torres, the SEC will then have to appeal to the Second Circuit Court for further proceedings.

Bitget Enhances KYC Requirements to Align With Regulatory Mandates

Cryptocurrency exchange Bitget has decided to enhance its know-your-customer (KYC) requirements for its users. Effective from September 1, all new users will need to complete level-one KYC verification to deposit and conduct trades on the platform. 

This decision comes as Bitget aims to align with global regulatory mandates in the cryptocurrency sector and to foster a secure trading environment. Existing users, who registered before this date, are given until October 1 to meet the same criteria. Failure to comply will limit these users to only withdrawing, canceling orders, and closing positions. Bitget's level-one KYC involves submitting a government-recognized ID and undergoing facial recognition, a process estimated to take around 20 minutes.

This enhanced KYC initiative aligns with Bitget's broader goals of extending its global influence. Earlier this year, the exchange declared a $100 million global venture capital fund predominantly targeting Asia. Moreover, it introduced its cryptocurrency loan offerings in July, aimed at users interested in exploring new financing methods through digital assets. 

This move by Bitget mirrors similar decisions in the crypto sphere, with exchanges like KuCoin and Bybit also implementing mandatory KYC verifications in response to regulatory pressure and to ensure secure and compliant operations.

Ordinal Inscriptions Continue to Drive Bitcoin Activity

Despite recent suggestions that the enthusiasm around Bitcoin NFTs (Non-Fungible Tokens) has waned, Ordinals, a type of inscription on the Bitcoin network, continue to be a major driver of activity. On August 21, it was observed that of the 530,788 Bitcoin transactions in the previous 24 hours, 450,785 were related to Ordinals, making up approximately 84.9% of all Bitcoin activity. 

Data from Dune Analytics confirmed this trend, stating that on August 20, there were over 400,000 Ordinal inscriptions, while Bitinfocharts recorded around 556,000 total Bitcoin transactions for the day. This implies that Ordinals constituted more than three-quarters of the network's activity. 

There have been 25.5 million Ordinal inscriptions so far, producing about $53.4 million in fees. The majority of these inscriptions are currently from BRC-20 token minting, with 1.9 million minted just last week.

Bitcoin Ordinals allow data to be inscribed onto a Satoshi, which is the smallest unit of a Bitcoin. The protocol debuted in January, and the subsequent months saw a surge in inscriptions, leading to network congestion and a spike in transaction fees during April and May.

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