After nearly four years of legal battles, Ripple Labs and the U.S. Securities and Exchange Commission (SEC) have jointly submitted a motion urging Judge Analisa Torres to approve a long-awaited settlement that would bring the XRP case to a formal close.
The move signals what could be the final chapter in one of crypto’s most influential court battles, with massive implications for future digital asset regulation in the United States.
⚖️ The Joint Motion for Final Judgment
The filing, made late Friday in the Southern District of New York, requests that Judge Torres approve a consent judgment, including:
- A final penalty Ripple would pay
- A mutual agreement that XRP is not a security in secondary markets
- Terms of ongoing regulatory compliance and reporting by Ripple
The parties believe the proposed settlement is fair, reasonable, and in the public interest.
While the details of the settlement amount remain redacted in public documents, insiders suggest the fine may be significantly lower than the $1.3 billion originally sought by the SEC in 2020.
📜 A Case That Shaped the Industry
The SEC first sued Ripple Labs in December 2020, alleging that it conducted an unregistered securities offering by selling XRP.
The case sparked a multi-year legal standoff that:
- Froze XRP listings on major U.S. exchanges
- Triggered intense volatility in XRP’s price
- Became a litmus test for crypto regulation globally
In 2023, Judge Torres delivered a partial summary judgment, ruling that XRP was not a security when traded on public exchanges, but left open questions about institutional sales—setting the stage for eventual negotiations.
👀 Market Reaction and Industry Impact
XRP spiked nearly 7% within hours of the news breaking, as traders priced in a long-awaited return to legal clarity and potential relistings on U.S. platforms.
Laura Cheng, legal strategist at CoinTrust Research said,
If the settlement is approved, it clears the path for Ripple to reengage with U.S. financial partners and move forward with global utility.
The case also holds implications for other tokens under regulatory scrutiny—including Solana (SOL), Cardano (ADA), and Polygon (MATIC).
🔮 What Comes Next?
Judge Torres is expected to review the joint motion over the coming days. If approved, it could:
- End the XRP lawsuit completely
- Set a precedent for secondary market token sales
- Give the crypto industry a clearer legal framework moving forward
Ripple CEO Brad Garlinghouse has yet to comment, but previously stated the company was prepared to fight all the way to the Supreme Court if necessary—though this move suggests a strategic compromise has been reached.
💬 Final Thoughts
If the settlement is approved, the Ripple vs. SEC saga may finally come to a close—cementing XRP’s legal status and opening a new chapter in crypto regulation.
Stay with CoinTrust for the latest on this pivotal case and what it means for the future of blockchain in America.