Ripple and SEC Conclude Legal Dispute

The Securities and Exchange Commission (SEC) and Ripple Labs are poised to finalize their long-running legal dispute. They’ve jointly requested the Court of Appeals to dismiss both the SEC’s regulatory appeals and the cross-appeals by blockchain companies.

On Thursday, the Second Circuit Court of Appeals accepted this joint dismissal, clarifying that each party would cover their own costs and fees in this case concerning XRP.

Stuart Aldeloty, Ripple’s chief legal officer, announced on X that the SEC and Ripple had officially filed to dismiss the appeal following a committee vote. “End…and now I’m back in business,” he added, expressing a sense of relief.

The SEC had initiated the lawsuit against Ripple in late 2020, claiming that the sale of the token XRP constituted an unregistered security. A federal judge issued a complex ruling in July 2023, stating that while some tokens could be classified as securities, the ruling was appealed by the SEC.

Final Ruling on XRP

This dismissal signifies an end to ongoing appeals from the case decided by federal judge Annalisa Torres. She ruled that XRP sold on public exchanges wasn’t considered a security. However, the XRP sold to institutional investors was classified as unregistered securities.

Judge Torres subsequently imposed a $125 million fine on Ripple, a figure significantly lower than the SEC’s initial demand of $2 billion, which contributed to the agency’s appeal in October.

Regulatory Challenges Ahead

During Donald Trump’s presidency, the SEC faced criticism regarding its actions against crypto companies. Nevertheless, Trump has indicated a desire to reduce regulatory enforcement in the crypto space during his administrations, leading the SEC to withdraw several lawsuits against these firms.

In April, both the SEC and Ripple had submitted a joint request to pause the SEC’s appeal and Ripple’s counter-appeal amid suggestions of potential lawsuits from Ripple. They reached a settlement in May but sought to have Judge Torres reconsider the injunction and lower the fine, which was ultimately denied.

XRP Price Movements

The push towards a settlement has been a significant factor in the rallying price of XRP, which jumped from a low of $1.79 in April 2025 to a high of $3.56 in July. Recently, while the price dipped below $3, it has climbed 10.6% in the last day to $3.31.

In summary, the legal resolution between Ripple and the SEC leaves some questions about the regulatory landscape for cryptocurrencies moving forward.