The SEC may be close to concluding its long-running enforcement action against Ripple Labs. We examine the key developments and the impact on the crypto market.
History of the Conflict
The case began in December 2020 when the SEC accused Ripple of using XRP as an unregistered security to raise funds. In August 2024, the court ruled partially in favor of Ripple, requiring $125 million in penalties but dismissing the SEC's claim that XRP is a security.
Current Situation and Appeals
A $125-million court judgment was issued in August 2024, and both sides have since filed appeals. If both parties agree to drop their appeals, the existing judgment would stand. So far, there are no official filings indicating the SEC plans to dismiss the case.
Political and Legal Aspects
Ripple has been notably involved in political activities, donating $45 million to support Fairshake PAC and committing an additional $25 million for the 2026 elections. The SEC's appeal focuses on allegations against Ripple executives potentially violating securities laws.
The ongoing Ripple vs. SEC case continues to draw public attention, and its outcome could significantly impact future crypto regulations.
