The resolution of the Ripple SEC lawsuit brings an end to XRP’s legal troubles

Ripple Labs and its XRP token have been involved in a highly publicized legal battle with the U.S. Securities and Exchange Commission (SEC), which began in December 2020. This legal dispute has had a significant impact on Ripple’s trajectory and has raised important questions about crypto regulation in the U.S. As Ripple and the SEC filed for a joint motion to pause their appeals, it appears that April 16 could mark the end of Ripple’s legal troubles.

The Ripple SEC lawsuit: nearing a resolution

The lawsuit against Ripple by the SEC originates from allegations that Ripple sold XRP as an unregistered security. Ripple has consistently argued that XRP is a currency and falls outside the SEC’s jurisdiction, making this case a crucial test for how digital assets will be regulated in the U.S.

In a ruling in July 2023, Judge Analisa Torres partly favored Ripple, stating that XRP sales on public exchanges did not breach securities laws, but institutional sales did. Both parties filed appeals following this mixed ruling.

Recent filings indicate that a resolution might be in sight. On April 10, Ripple and the SEC jointly filed a motion to pause their appeals and work on settlement terms, suggesting an agreement to settle the case. Legal expert Fred Rispoli mentioned on X that he believes there is a 90% chance of a resolution by April 16, either through settlement or withdrawal of appeals.

What’s next for Ripple and the crypto industry?

The potential resolution of the Ripple SEC lawsuit has significant implications for regulatory clarity in the U.S. A favorable settlement could establish a precedent for distinguishing between securities and currencies in crypto markets, potentially replacing outdated regulatory tests and encouraging institutional involvement in XRP and other digital assets.

Despite its legal challenges, Ripple has been expanding its ecosystem and strengthening its position in the market. In March 2025, Ripple acquired Hidden Road for $1.25 billion, positioning itself as a global multi-asset prime broker, showcasing ambitions beyond blockchain payments.

Critics have raised concerns about centralization within Ripple’s network, tied to its pre-mined supply and control by Ripple Labs. The outcome of Ripple’s case could reshape crypto regulation in the U.S., particularly under the leadership of incoming SEC Chair Paul Atkins, expected to be more favorable towards digital assets and innovation. Ripple’s ability to negotiate favorable settlement terms could also influence ongoing legal disputes involving other crypto firms.

XRP Market Data

At the time of press 3:00 pm UTC on Apr. 12, 2025, XRP is ranked #4 by market cap, with a price increase of 7.06% over the past 24 hours. XRP has a market capitalization of $125.58 billion with a 24-hour trading volume of $3.27 billion.

Crypto Market Summary

At the time of press 3:00 pm UTC on Apr. 12, 2025, the total crypto market is valued at $2.69 trillion with a 24-hour volume of $74.57 billion. Bitcoin dominance is currently at 62.42%.

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