The Ripple vs SEC case has concluded after nearly five years of litigation. This legal outcome carries significant implications for the cryptocurrency market and XRP ETF approval.
Timeline of Ripple vs SEC Case
On December 22, 2020, the US Securities and Exchange Commission (SEC) filed a lawsuit against Ripple Labs, accusing the company of selling $1.3 billion worth of XRP tokens without registering them as securities.
In early 2021, Ripple countered with a motion to dismiss, stating that XRP is a currency, not a security.
On April 11, 2022, the presiding judge ruled that SEC should not withhold the Hinman documents.
On September 29, 2022, the US District Court ordered SEC to hand over the Hinman documents.
In July 2023, Judge Analisa Torres ruled that Ripple's institutional sales of XRP on public exchanges did not violate securities laws, although she found that direct institutional sales totaling $728 million did.
In March 2025, both parties dropped their respective appeals, effectively finalizing the case.
On August 7, 2025, Ripple agreed to pay a $125 million fine as part of a settlement, with $50 million going to the US Treasury and $75 million returned from escrow.
Reactions from Crypto Investors and Experts
Following the end of the Ripple vs SEC case, market sentiment shifted. Ripple’s chief legal officer, Stuart Alderoti, stated that the company can now refocus on its business, saying, "Following the Commission’s vote today, Ripple formally filed to dismiss its appeals. The end... and now back to business."
Bloomberg experts believe there is a 95% chance of XRP ETF approval.
Future of XRP ETF
The conclusion of the SEC lawsuit against Ripple has changed market sentiment, raising the odds for XRP ETF approval to 77%. Other major firms are expected to file their ETF applications as well. Speculation about BlackRock filing for an iShares XRP Trust increased, but BlackRock has denied such plans, stating they currently have no intentions to file for an XRP or SOL ETF.
In conclusion, the settlement of the Ripple vs SEC case has significantly affected the cryptocurrency market, boosting investor confidence and the likelihood of XRP ETF approval. Ripple can now concentrate on its development while the crypto market awaits further developments.
