The long-awaited conclusion to the SEC lawsuit against Ripple, the issuer of XRP, seems to be on the horizon. Rumors of a settlement in the final stages caused a 5% surge in XRP price, reaching $2.23 at press time.
According to sources close to the matter, negotiations are ongoing, with Ripple seeking more favorable terms following a previous ruling by District Judge Analisa Torres. Ripple’s legal team argues that accepting the court ruling would imply wrongdoing, especially given the SEC’s evolving stance on crypto regulation.
The August ruling found Ripple’s institutional sales of XRP to be in violation of securities laws, resulting in a $125 million penalty and a permanent injunction against selling XRP to institutional investors. Both parties were preparing their appeals before settlement talks emerged.
Speculation suggests that the SEC would have accepted a settlement to drop appeals and collect the penalty without hesitation. However, Ripple may face challenges if it plans to pursue exempt securities offerings or an initial public offering in the future.
Recent shifts within the SEC, including the halting of lawsuits and investigations against crypto firms, indicate a move towards regulatory clarity. The new administration, with pro-crypto figures like Commissioner Mark Uyeda and Commissioner Hester Peirce leading the charge, aims to establish a comprehensive framework for rulemaking, departing from previous “regulation by enforcement” approaches.
As of March 12, 2025, XRP holds the #4 spot in market cap, with a price up by 3.12% in the past 24 hours. The total crypto market is valued at $2.68 trillion, with Bitcoin dominance at 61.16%. These developments highlight the ongoing evolution of the regulatory landscape in the crypto industry.