Recent developments in the Ripple vs. SEC case marked the end of a lengthy dispute that began in 2020. Both parties agreed to dismiss their appeals and finalize the terms of the settlement.
Outcomes of the Ripple vs. SEC Case
Earlier this month, both sides moved to dismiss their appeals, signaling the effective end of the dispute between Ripple Labs and SEC. The outcome of the case reflected the tense relationship between the crypto industry and regulators.
Fine and XRP Status
According to the terms of the settlement, Ripple avoided multibillion-dollar penalties, instead agreeing to a $125 million fine. The court upheld that XRP itself is not a security, although restrictions are in place for future institutional sales.
Future of Cryptocurrency Regulation in the US
Despite the joint withdrawal of appeals, the case is not fully concluded. SEC has filed a formal status report with the U.S. Second Circuit Court. The court’s move to finalize the closure of the case further underscores the importance of legal norms in the regulation of digital assets in the United States.
This case may serve as a significant milestone for U.S. regulators and the crypto industry as it demonstrates the possibility of judicial determinations regarding the statuses of digital assets.
