The XRP community celebrated after Ripple secured a decisive victory against the U.S. Securities and Exchange Commission (SEC). The long-standing legal battle has officially ended as the SEC dropped its lawsuit, a move many in the crypto industry see as a turning point for digital asset regulation.
Ripple CEO Brad Garlinghouse confirmed the development, stating, “This is 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.”
The lawsuit had been a major point of contention, with the SEC alleging that Ripple’s sale of XRP constituted an unregistered securities offering. Judge Torres had previously ruled on the case, issuing a $125 million penalty and an injunction against Ripple.
With the SEC choosing not to pursue an appeal, this judgment remains the case outcome.
Also Read: Breaking: Ripple vs SEC Lawsuit Has Ended, Brad Garlinghouse Confirms – Here’s What Happened
Legal Expert Jeremy Hogan’s Analysis
According to legal expert Jeremy Hogan, the SEC’s decision has important implications for Ripple and the crypto industry. The ruling by Judge Torres now stands as the final say in this case, setting a precedent for future regulatory actions.
Hogan highlighted that the SEC’s decision confirms the worst possible outcome for Ripple, which remains a $125 million penalty and an injunction.
He noted that Ripple now faces several options, including pursuing its appeal for further clarity, dropping the appeal and returning to the trial court, reaching a private settlement, or simply paying the penalty and moving forward without further legal proceedings.
Possible Outcomes and Ripple’s Next Steps
If Ripple decides to continue its appeal, it could seek a ruling from an appellate court regarding the legal definition of investment contracts. A successful appeal might clarify how digital assets are classified under U.S. law.
Should Ripple drop the appeal, the case would return to the trial court, where both parties could attempt to amend the existing judgment. This could lead to a more favorable resolution for Ripple and its business operations.
Another possibility is that Ripple reaches a private agreement with the SEC, bypassing further litigation without modifying the judgment. This approach could allow Ripple to focus on expansion rather than prolonged legal battles.
Alternatively, Ripple may accept the current judgment, pay the $125 million penalty, and shift its focus entirely to business growth and global adoption of XRP.
Impact on Cryptocurrency Regulation and Market Reaction
The SEC’s decision to withdraw its lawsuit marks a potential shift in regulatory enforcement, signaling a move toward more precise guidelines for digital assets.
Ripple’s legal victory may set a precedent, encouraging structured regulation over litigation. The market reacted positively, with XRP surging as investors welcomed reduced legal uncertainty.
Jeremy Hogan congratulated XRP holders, reflecting investor optimism. Now in a stronger position, Ripple can focus on growth and innovation in cross-border payments.
This decision benefits Ripple and may shape future crypto regulations, influencing how digital assets are treated under U.S. law and strengthening the industry’s long-term outlook.
Also Read: Breaking: XRP Surges by 15% – Here is Why XRP Is Suddenly Rising
