Ripple CEO Drops Major Update: Cross Appeal Withdrawn
Ripple CEO Brad Garlinghouse recently made a significant announcement, revealing that Ripple is officially withdrawing its cross appeal in the ongoing legal battle with the SEC. This move is expected to prompt the SEC to follow suit, potentially bringing an end to one of the most high-profile legal disputes in the world of cryptocurrency.
After years of courtroom drama, the latest development in the case came when Judge Torres rejected a joint request from both Ripple and the SEC to approve a proposed settlement. The proposed agreement sought to reduce Ripple’s civil penalty to $50 million and remove the permanent injunction imposed on the company.
Although the SEC still needs to formally vote to drop its appeal, former SEC official Marc Fagel believes that the outcome is now virtually certain. The previous SEC vote only approved the proposed settlement, not a complete dismissal of the case. With the court failing to approve the settlement, a separate vote is now required for the SEC to officially drop the appeal.
SEC Injunction Stays in Place
While the Ripple-SEC litigation is effectively coming to a close, the injunction against Ripple remains in effect. Marc Fagel warns that distributing XRP through other entities could still potentially violate securities laws. However, he acknowledges that the SEC’s current leniency in enforcement makes predicting outcomes uncertain.
Attorney Fred Rispoli expressed relief that the long-standing legal battle is finally reaching a conclusion. He noted that Ripple’s decision to withdraw its cross appeal was likely a carefully planned move, as it came shortly after Judge Torres’ final ruling. Rispoli suggests that Ripple and the SEC had already discussed the terms behind closed doors, paving the way for a swift resolution.
XRP Price Jumps: 2023 Ruling Upheld
Following the announcement of Ripple’s decision to withdraw its cross appeal, the price of XRP surged to $2.15. Once the SEC also drops its appeal, which is anticipated to happen in the coming weeks, the case will be officially closed. The pivotal 2023 ruling confirming that XRP sales on exchanges are not considered securities provides ongoing clarity for retail traders in the cryptocurrency market.