SEC Drops Ripple Lawsuit: XRP Victory
The US Securities and Exchange Commission (SEC) has dropped its four-year lawsuit against Ripple Labs, marking a significant victory for the company and the cryptocurrency XRP.
Key Takeaways
- The SEC dropped its lawsuit against Ripple, ending a protracted legal battle.
- The ruling effectively confirms XRP is not a security under current law.
Ripple CEO Brad Garlinghouse announced the news on X (formerly Twitter), highlighting the implications for the broader crypto industry. He stated the case, which resulted in approximately $15 billion in losses for XRP holders, was "doomed from the start."
This is it – the moment we’ve been waiting for. The SEC will drop its appeal – a resounding victory for Ripple, for crypto, every way you look at it. The future is bright. Let's build.
— Brad Garlinghouse (@bgarlinghouse) March 19, 2025
Garlinghouse's announcement follows reports of ongoing settlement discussions and the SEC's consideration of classifying XRP as a commodity, similar to Ethereum. This shift reflects the SEC's evolving approach to crypto regulation under Acting Chairman Mark Uyeda, who has withdrawn from numerous crypto enforcement cases.
“Today is a victory and a long overdue surrender by the SEC. They weren’t out to protect investors. They were out to intimidate and terrorize,” Garlinghouse stressed.
XRP: Not a Security
Garlinghouse emphasized that previous court rulings establishing XRP as a non-security are now legal precedent. He believes this victory lays the groundwork for clearer crypto regulations aligned with existing securities law.
“We won on every critical legal point, proving that the digital asset XRP is not a security. That is now the law. And those wins have laid the groundwork for policymakers to adopt a set of rules for crypto that are in line with nearly a century of securities law,” said the CEO.
Garlinghouse declared the end of the "war on crypto," expressing hope that Ripple's success will embolden others to resist regulatory overreach. He advocates for industry unity and a vision of the US as the "crypto capital of the world."
“We are now closing a chapter in crypto history. I think we’re all stronger for our prior litigation successes and today’s landmark victory,” Garlinghouse stated.
Following the announcement, XRP prices surged over 10%, rising from $2.3 to $2.5, according to data from CoinGecko. Garlinghouse thanked Ripple employees, legal teams, the XRP community, and partners for their support.
“We couldn’t have won this battle without all of you being behind us and working together,” he stated.
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