Ripple-SEC Lawsuit Ends

Ripple and SEC Settle XRP Lawsuit

The protracted legal battle between Ripple Labs and the Securities and Exchange Commission (SEC) has concluded. Both parties have agreed to drop all appeals, marking a significant turning point in the cryptocurrency industry.

Key Takeaways:

• Ripple and the SEC have mutually agreed to end their appeals.
• This decision concludes a major legal dispute affecting the digital asset sector.

Ripple CEO Brad Garlinghouse confirmed the news on X (formerly Twitter), stating that Ripple is dropping its cross-appeal and expects the SEC to follow suit, effectively ending the case. He emphasized Ripple's intention to focus on "building the Internet of Value."

This settlement follows a federal judge's rejection of a joint motion to reduce Ripple's penalty to $50 million. Judge Analisa Torres ruled that altering the original $125 million fine and the permanent injunction required exceptional legal grounds, which were not met.

The July 2023 ruling established that XRP sales on public exchanges were not securities violations, but institutional sales totaling $728 million were. The settlement brings closure despite this earlier setback. Ripple's decision to forgo further appeals suggests a prioritization of operational clarity and stability.

This settlement, coupled with the recent dropping of SEC cases against Coinbase, Kraken, and Binance, indicates a potential shift in the SEC's approach to cryptocurrency enforcement. However, it is too early to determine the long-term ramifications of this development for the broader regulatory landscape.

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