- Ripple and SEC officially drop appeals, signaling the end of their landmark legal battle over XRP.
- Judge Torres denied the revised settlement motion, leaving mutual withdrawal as the clearest path forward.
- XRP price surged following the news, with investors optimistic about Ripple’s renewed global ambitions.
Ripple has officially taken a decisive step toward closing one of the most consequential legal battles in the history of cryptocurrency. The company announced the withdrawal of its cross-appeal in the ongoing lawsuit with the U.S. Securities and Exchange Commission (SEC), while the SEC is reportedly preparing to do the same, marking what could be the final chapter in the high-profile XRP legal saga.
Ripple CEO Brad Garlinghouse confirmed the development on X (formerly Twitter), stating, “Ripple is dropping our cross-appeal, and the SEC is expected to drop their appeal, as they’ve previously said. We’re closing this chapter once and for all, and focusing on what’s most important: building the Internet of Value. Lock in.”
This announcement came less than 24 hours after Judge Analisa Torres denied a joint motion from both Ripple and the SEC for an “indicative ruling” that would have enabled her to approve a revised settlement without a full review by appellate courts. The judge’s rejection hinted that the only path forward would be to drop the appeals altogether or proceed with lengthy litigation, something neither party appeared eager to do.
Ripple Wins XRP Ruling in SEC Lawsuit
The lawsuit, initiated by the SEC in December 2020, accused Ripple Labs of conducting an unregistered securities offering through the institutional sale of XRP tokens. The case quickly became a legal bellwether for the broader crypto industry, raising pressing questions about how digital assets should be classified and regulated under U.S. securities law.
After nearly three years of legal wrangling and dozens of court filings, Judge Torres delivered a partial ruling in July 2023. She determined that while Ripple’s institutional XRP sales did indeed violate securities laws, its programmatic sales, those made via crypto exchange, did not. The judge also clarified that XRP, in and of itself, is not a security, providing a partial but significant win for the blockchain firm.
Following the 2024 U.S. presidential election, which saw Donald Trump return to office, regulatory sentiment towards cryptocurrencies began to thaw. In this shifting landscape, the SEC reportedly resumed settlement discussions with the blockchain firm, eventually agreeing to lift restrictions on Ripple’s ability to carry out XRP transactions, another step toward reconciliation.
However, even as both sides moved closer to resolution, Judge Torres twice rejected their revised settlement proposals. First citing procedural flaws, then a lack of “exceptional circumstances” to bypass a full appellate review, she effectively steered the parties toward mutual disengagement.
Also Read: XRP Blowback: Judge Torres Rejects Ripple-SEC Settlement Motion
Ripple Ends Case and Eyes Global Expansion
The crypto market responded swiftly to the news. XRP surged as investors interpreted the legal closure as a green light for the token’s resurgence. Analysts noted that the SEC’s softened tone may indicate a broader policy shift toward more nuanced and less antagonistic crypto regulation in the future.
Legal experts have applauded the conclusion as a strategic and face-saving move by both sides, allowing Ripple to regain its focus and the SEC to pivot away from a draining legal battle.
Ripple executives are now redirecting their full attention toward innovation. CEO Garlinghouse reiterated the company’s vision to build the “Internet of Value,” a decentralized global financial network powered by blockchain technology. With the lawsuit nearly behind them, the blockchain firm aims to accelerate partnerships, expand international operations, and reassert XRP’s utility in cross-border payments.
As one of the most closely watched legal battles in crypto comes to an end, Ripple’s resolution with the SEC could set the tone for future regulatory engagement with the blockchain industry in the U.S. and beyond.
Also Read | Ripple vs SEC Takes New Turn as Judge Torres Denies Private Settlement
