The U.S. Securities and Exchange Commission (SEC) held a closed-door meeting on February 27, 2025, sparking speculation about the potential shifts in the Ripple case.
Background: SEC Lawsuit Against Ripple
The SEC sued Ripple in December 2020, accusing the company of selling XRP as an unregistered security. In 2023, Judge Analisa Torres ruled that XRP itself is not a security, weakening the SEC's case. Now, with increasing pressure on the SEC, many believe the agency might be ready to move on.
Political Pressure and Potential Changes
Senator Cynthia Lummis recently criticized the SEC's approach to crypto regulation, stating most digital assets aren't securities under the Howey Test. This aligns with Judge Torres' ruling in the Ripple case, further strengthening Ripple's position. No official decision has been announced yet, but the next key date is April 16, when Ripple must submit its reply to the SEC’s appeal.
XRP's Future: Prospects After a Decision
As of now, XRP’s price is trading around $2.03, reflecting a drop of 8.19%, with a market cap reaching $142 billion. Many crypto experts believe that if the SEC drops the case, XRP could rise sharply, potentially reaching $3.20. There is also speculation that if the Ripple lawsuit is dismissed, it could pave the way for the approval of an XRP exchange-traded fund (ETF), which might drive the price even higher.
The SEC's decision on the Ripple case remains uncertain, but the potential closure could significantly alter the market conditions for XRP and the broader crypto industry.
