The price of the cryptocurrency XRP rose over 3% following Ripple's CEO announcement regarding the dropping of the SEC appeal, potentially ending a lengthy legal conflict.
Ripple CEO's Statement
Ripple's CEO Brad Garlinghouse announced that the company is dropping its cross-appeal against the SEC. "We are closing this chapter and focusing on what matters most – building the internet of value," he added.
Ripple's and Lawyers' Reactions
Ripple's Chief Legal Officer Stuart Alderoty stated that the court's ruling provided two options: either dismiss the appeal or pursue it. He emphasized that XRP's legal status as not a security remains unchanged. He also commented, "In the meantime, it’s business as usual."
Context of the Legal Battle
This announcement follows the U.S. district court's denial of a joint motion from the SEC and Ripple to reduce a civil penalty of $125 million. Judge Analisa Torres noted that Ripple's willingness to "push the boundaries" makes future violations likely.
Should the SEC also drop its appeal, this could mark the end of a more than four-year legal battle between Ripple Labs and the regulator that began in December 2020.
