Ripple Labs and the U.S. Securities and Exchange Commission (SEC) have resolved their legal disputes, agreeing to drop appeals following a five-year conflict. This event has significant implications for the cryptocurrency market and XRP value.
Ripple and SEC Confirm Settlement
In a joint filing submitted on Thursday, Ripple and the SEC confirmed that each side will cover its own legal fees. This agreement officially closes the legal battle that began in 2020 when the SEC accused Ripple of violating securities laws by selling XRP.
2023 Court Decision Stands
The dispute reached a key moment in July 2023 when federal judge Analisa Torres issued a ruling that was part win, part loss for both sides. She ruled that XRP sold to everyday investors on public exchanges did not qualify as a security. However, XRP sold to large institutional buyers was classified as an unregistered security. Following this, Ripple was ordered to pay $125 million in fines—a lot less than the $2 billion the SEC initially demanded. Both sides have since dropped their appeals, making the 2023 ruling the final outcome.
XRP Price Recovers Amid Positive Indicators
The end of the legal drama helped XRP rebound after falling from $3.50 to $2.70 in late July. In the last 24 hours, it gained over 11%, showing investor confidence returning as uncertainty fades. Current technical indicators are showing bullish signs, with XRP's price holding above key support levels, suggesting potential future growth.
The conclusion of the dispute between Ripple and the SEC, along with positive technical indicators, opens new prospects for XRP. The cryptocurrency market shows signs of recovery, and many experts expect further positive developments.
