In the ongoing legal dispute between the SEC and Ripple Labs, both parties have filed a joint request in the Manhattan District Court to lift the injunction and release $125 million held in escrow.
Joint Request to Lift Injunction
The request was submitted on Thursday and aims to lift the existing injunction that has restricted Ripple's operations since the SEC filed its lawsuit in December 2020. This restriction significantly impacted Ripple's ability to operate in the U.S. market.
Rejection of Previous Settlement
This new request comes after a judge rejected a proposed settlement that would have reduced Ripple's penalty from $125 million to $50 million. Judge Analisa Torres stated that Ripple and the SEC must demonstrate 'exceptional circumstances' before a final judgment can be vacated.
Ripple's Future and XRP
If the court approves the request, it would effectively conclude the legal battle between Ripple and the SEC, allowing the company to operate freely in the U.S. A successful resolution may set a precedent for other crypto firms and provide clarity for institutional investors.
In conclusion, the outcome of the current filing could have far-reaching implications for Ripple, XRP, and the broader crypto market, offering clearer regulatory guidance and confidence for investors.
