In a significant win for Ripple Labs and XRP, the company has reached a settlement with the American Securities and Stock Exchange Commission (SEC), which will effectively end them Legal Battle.
Completion of a long legal battle
How Reported By journalist Fox Eleanor Terret, Ripple agreed to abandon the appeal against SEC and will pay a reduced fine of $ 50 million, compared to the initially ordered $ 125 million. SEC also pointed to the intention of asking Judge Torres to raise the order to “comply with the law”, which was previously imposed on the company.
The solution to this case means the end of the legal saga, which began in 2020, when SEC filed a lawsuit against Ripple, claiming that the company carried out an unregistered offer of securities by selling XRP.
According to the insights, the SEC-RIPPLE settlement terrack means that after the commission is finalized and voting, The case will be resolvedby allowing the Blockchain payment company.
Despite high legal fees, estimated at $ 150 million to $ 200 million, Ripple turns to a position similar to the place where the SEC claimed. SEC also probably incurred significant costs of taxpayers’ dollars in pursuit of the case.
Ripple legal victory: clarity for XRP
Court proceedings had a negative impact on XRP owners, like many exchanges, such as Binance, Etoro and Coinbase, decided to remove the token during the trial, which led to a significant decrease in his market value.
This uncertainty meant that other cryptocurrency projects are careful building in the US, fearing potential legal repercussions on the part of the Securities Committee and stock exchanges conducted at that time by Gary Gensler.
As Terret emphasized, the critics noticed that the chairman of Sec Gary Gensler focused on the prosecution of cryptographic companies for lack of registration, eroded public trust.
The agency was criticized for overlooking significant threats in the cryptocurrency space, such as the falls of Crypto Exchange FTX and Crypto Celding Celsius, which caused significant losses for investors.
In the case of ripple, there is a silver lining settlementAccording to Terret. The company is to pay a smaller fine than originally anticipated and may avoid a continuous order that could hinder its activities.
In addition, RIPPLE may accept recognition for contributing to the legal clarity regarding the programming and secondary market sales XRP – a decision that remains unquestioned.
Stuart Alderoty, Ripple legal director, expressed Optimism in the post of social media on X (previously Twitter), indicating that this will probably be its final update of the SEC case.
Alderoty noticed that SEC had agreed to abandon the appeal without conditions, and Ripple would drop its cruciate appeal. SEC will keep a fine $ 50 million, which is already stored on a deposit account and the remaining balance will be returned to Ripple.
At the time of writing, XRP trades $ 2.45, reflecting 9% profit over a seven -day period and approaches the current record highest level of USD 3.40, which was achieved during Bull Bull 2018.
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