07.08.2025 23:49

After a protracted five-year legal battle, Ripple Labs and the U.S. Securities and Exchange Commission (SEC) have reached a settlement, bringing an end to their contentious dispute. A joint stipulation of dismissal, filed with the U.S. Court of Appeals for the Second Circuit (Case Nos. 24-2648(L) and 24-2705(XAP)), officially terminates all appeals, signaling a definitive conclusion to the litigation.

The agreement, subject to SEC approval, resolves the lawsuit initiated in December 2020, where the SEC alleged that Ripple's XRP token sales constituted an unregistered securities offering. This landmark case, following a partial victory for Ripple in the U.S. District Court for the Southern District of New York (No. 20-cv-10832) in 2023—which ruled XRP was not a security in secondary market transactions—culminated in this joint dismissal. The document bears the signatures of attorneys representing Ripple, its executives Brad Garlinghouse and Christian A. Larsen, and the SEC, signifying unanimous consent.

This resolution marks a significant turning point for Ripple, absolving them of further federal litigation concerning XRP's regulatory status. The case's impact extends far beyond Ripple itself, potentially influencing the classification of other cryptocurrencies under U.S. securities laws, a crucial consideration as regulators grapple with establishing comprehensive cryptocurrency frameworks. This settlement follows years of uncertainty and intense debate within the cryptocurrency community.

The immediate market reaction to the news demonstrates a significant surge in investor confidence. Following the announcement, the price of XRP experienced a dramatic rally, surpassing the $0.3 mark, a clear indicator of the positive sentiment surrounding the resolution. This price increase highlights the considerable market anticipation and the potential ramifications of this legal precedent established from internet sources.