The long-running legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) may come to an unexpected conclusion if a private settlement is reached. Attorney Jeremy Hogan has suggested that this may be the most realistic way the case could be swiftly resolved.
Impact of Eleanor Terrett's Report
Speculation about a potential settlement gained momentum after Fox Business journalist Eleanor Terrett reported that the lawsuit is 'in the process of wrapping up and could be over soon.' This prompted Jeremy Hogan to suggest that a private settlement would be the most realistic path for a swift conclusion.
Legal Complexity: SEC’s Possible Compromise
While a settlement appears to be the best-case scenario for Ripple, there are significant legal hurdles. The SEC previously secured an injunction against certain XRP sales, and for a private settlement to be feasible, the SEC would need to agree not to enforce this ban. Hogan speculates that the SEC might find a compromise by allowing Ripple to register its institutional sales of XRP under a regulated framework.
XRP’s Future Hinges on This Decision
The crypto community sees a potential private settlement as a crucial event. It could remove a regulatory obstacle for Ripple, enabling XRP’s growth and adoption. Once legal clarity is established, Ripple can safely expand its operations, and institutional investors may regain confidence in XRP.
If a private settlement is achieved, it would be one of the most significant milestones in XRP’s history, providing legal clarity and stimulating institutional adoption in the digital asset space.
