SEC Dismisses Case Against Coinbase, Ripple Lawsuit Expectations Rise
The United States Securities and Exchange Commission (SEC) dismissed the case against Coinbase Global Inc. Confirmation is expected soon. This has raised expectations within the Ripple Labs and XRP communities for a similar outcome in their ongoing lawsuit.
US President Donald Trump met with Ripple Labs executives, including Brad Garlinghouse, signaling potential closure to the lawsuit. Trump previously shared articles about Ripple on his social media platform.
Overview of SEC vs. Ripple Case
- The SEC alleges Ripple sold XRP as an unregistered securities offering, totaling over $1.3 billion since December 2020.
- In July 2023, Judge Analisa Torres ruled programmatic XRP sales are not securities, but institutional sales violated securities laws.
- Ripple was fined $125 million without a disgorgement order.
- The SEC appealed the ruling in October 2024, while Ripple cross-appealed regarding institutional sales.
- Judge Torres will retain jurisdiction until August 7, 2025, complicating any agreement between the SEC and Ripple.
- Closure of the case may extend into late 2025 or beyond.
Impact on XRP
- The Trump administration aims to provide clearer crypto legislation, increasing XRP demand recently.
- XRP's fully diluted valuation is approximately $261 billion, with a 24-hour trading volume around $4.2 billion.
- The altcoin broke out of a multi-year triangular consolidation but has faced recent consolidation as speculation builds toward a bullish breakout in 2025.