Ripple and the SEC end their legal battle after almost five years of dispute

The US stock and values commission. UU. And Ripple Labs they agreed to withdraw their appeals in the case on the sale of XRP performed years ago.

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• Ripple and the Sec They voluntarily withdrew their appeals before the Court of Appeals of the Second Circuit.
• The 2023 ruling, which imposed a fine of USD $ 125 million and a court order, remains in force.
• XRP reacted with a 5%rise, quoting around USD $ 3.27.

The prolonged legal dispute between Ripple Labs and the United States Stock Exchange and Securities Commission (SEC) He officially reached an end. Both parties notified the Second Circuit Appeals Court that voluntarily withdraw their appeals to the 2023 ruling, closing a process that began in 2020.

The agreement establishes that each party will cover its own costs, the repoortes indicate. With this, concludes a case that began under the presidency of Jay Clayton in the Sec, who at that time accused Ripple to violate the securities laws by selling XRP, The Token linked to the company.

XRP registered an immediate increase of 5% after the news was known, reaching USD $ 3.27 at the time edition.

A failure that marked a precedent

In 2023, the Analisa Torres District Judge determined that the sale of XRP through exchanges for the retail public did not constitute a violation of the Securities Laws. However, he ruled that direct sales to institutional investors violated regulations, imposing a fine of USD $ 125 million and a permanent court order to avoid future infractions.

In 2024, the Sec appealed to reverse part of that decision, while Ripple He presented a cross appeal to defend his position. The negotiations intensified in June 2025, when the CEO of Ripple, Brad Garlinghouse, announced that both parties were willing to leave the dispute.

Influence of political change in the US.

The change of administration in Washington was decisive to stop the dispute. With the return of Donald Trump to the presidency and the appointment of new directors in the Sec, The agency began to close cases and stop investigations against crypto companies. In recent months, more than a dozen similar procedures were removed.

In this new context, Ripple and the Sec They agreed to pause their appeals in early 2025, looking for a final resolution. However, attempts to reduce the fine were unsuccessful.

Failed negotiations about sanctions

For several months, the parties tried to negotiate a reduction of economic sanctions. However, Judge Torres rejected multiple proposals, arguing procedural problems and other legal considerations.

The refusal kept the fine of USD $ 125 million and the permanent prohibition of making sales that violate the securities laws. This leaves Ripple with a legal precedent that will continue to condition its business strategy and the industry with a reference case on the application of the law to cryptoactives.

The closure of the case eliminates a regulatory risk that had weighed for years over XRP and on the market in general. Although the resolution maintains important sanctions, it also consolidates the legal framework that distinguishes between institutional and retail sales in the crypto ecosystem.

Article written by a content editor. Edited by Angel Di Matteo / Diariobitcoin

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain

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