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Clear win for Ripple: the SEC drops its appeal

Ripple Labs and the U.S. securities regulator SEC have reached an official settlement to end their years-long lawsuit.

By Mike Hesp
• 1 min read
Clear win for Ripple: the SEC drops its appeal

Ripple Labs and the U.S. securities regulator SEC have reached an official settlement to end their years-long lawsuit. That comes from public SEC documents. Both parties have agreed that Ripple will pay $50 million of the original $125 million fine. The remaining amount will be returned to Ripple. Additionally, both sides will withdraw their appeals, provided the judge approves the settlement. Judge Torres ruled in 2023 that Ripple violated securities laws by selling XRP to institutional investors but not with selling XRP through exchanges to retail investors.

The SEC appealed Torres’ ruling, to which Ripple filed a counter appeal. As part of the settlement, both parties drop their legal claims. The motion filed Thursday confirms the March announcement that the company had reached a framework agreement with the SEC. XRP initially reacted positively to the news. At the time of writing, the coin was up 8.3% in a single day. For Ripple, the settlement is a clear victory. What the future holds for the company behind the cryptocurrency, you can read in this interview with Ripple manager Cassie Craddock.

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