XRP News: Ripple Reaches $50M Settlement with SEC—$75M Returned If Injunction Lifted
The post XRP News: Ripple Reaches $50M Settlement with SEC—$75M Returned If Injunction Lifted appeared on BitcoinEthereumNews.com.
The US Securities and Exchange Commission (SEC) has reached a settlement with Ripple, reducing its earlier penalty from $125 million to $50 million. A SEC Commissioner has expressed her dissatisfaction with the development, claiming that this undermines the court’s position in interpreting securities laws. The long-standing legal battle between the US Securities and Exchange Commission (SEC) and Ripple Labs is concluding as both parties reach a settlement of $50 million. According to the report published by the Commission and shared by Fox Business journalist Eleanor Terrett, the agreement has already been filed as part of the layout to resolve this litigation. The Details In December 2020, the SEC filed a lawsuit against the blockchain company and its executives for selling XRP without registering it as a security, as indicated in our recent blog post. In June 2023, US District Court Judge Analisa Torres granted a partial win to Ripple, ruling that while its retail sales did not violate federal securities laws, its institutional sales did. As earlier featured in our news coverage, a penalty of $125 million was imposed on Ripple on August 7, 2024. Also, the court permanently restrained them from future violations. Fascinatingly, these are coming to an end as the Commission and Ripple are jointly requesting the court to issue an indicative order on whether the injunction should be dissolved while ordering the release of the escrow account for the $50 million penalty to be fully paid to the SEC, with the remaining returned to Ripple. Once this provision is met, Ripple and the SEC would seek a limited remand to the court for that relief, and subsequently dismiss their respective appeals from the final judgment, according to the regulator’s statement. Commenting on this, the SEC highlighted that this decision underscores its effort to reconsider its earlier…
Filed under: News - @ May 9, 2025 12:23 pm