SEC and Ripple Dismiss Appeals, Ending 2020 Legal Battle
The U.S. Securities and Exchange Commission (SEC) has officially concluded its lawsuit against Ripple Labs, with both parties voluntarily dismissing their appeals regarding a 2023 ruling. Key points include:
- The SEC and Ripple will bear their own costs.
- The legal battle began in 2020 when the SEC alleged Ripple violated securities laws through XRP sales.
- XRP price increased by 5% to around $3.27 following the dismissal announcement.
- A 2023 district judge ruled that Ripple's sales of XRP to retail traders did not violate securities laws.
- Ripple faced penalties including a $125 million fine and a permanent injunction against future violations.
- Appeals were paused earlier this year amid changes in SEC leadership after Donald Trump's reelection.
- Attempts to negotiate reduced penalties were rejected by Judge Analisa Torres due to procedural issues.