Ripple has finally settled its four-year battle with the SEC, slashing its fine from $125 million to just $50 million. XRP prices jumped 10% on the news. CEO Brad Garlingher credited Trump’s administration for potential regulatory improvements. The company’s now expanding rapidly, hiring more staff and acquiring broker Hidden Road for $1.25 billion. A major win for crypto against tough regulators. The settlement’s ripple effects might reshape digital asset classification for years to come.
Ripple has finally broken free from its four-year regulatory nightmare. The blockchain company reached a settlement with the SEC, ending one of crypto’s most drawn-out legal battles. The agreement reduces Ripple‘s fine from $125 million to a mere $50 million. Not bad for a company valued in the billions. Both parties dropped their appeals as part of the deal, which now awaits formal SEC approval.
After a grueling four-year battle with the SEC, Ripple finally breathes easy—trading a potential $125M fine for just $50M.
The case began back in December 2020 when the SEC alleged XRP sales constituted unregistered securities offerings. Talk about a party pooper. The lawsuit immediately tanked XRP’s value and got the token delisted from major exchanges. For years, Ripple fought back, arguing that XRP wasn’t a security at all.
Then came July 2023’s bombshell ruling. A court determined that while institutional XRP sales were illegal, secondary programmatic sales weren’t securities violations. It was a split decision that left both sides claiming victory. Classic crypto drama.
XRP holders are celebrating now. The token has become the top-performing major cryptocurrency in recent months, rallying greatly on settlement news. XRP has experienced a 10% price increase as investors react to the positive outcome of the legal battle. Investors who held through the dark days are finally seeing green again. About time.
The settlement has released Ripple’s business ambitions. They’ve already acquired prime broker Hidden Road for a cool $1.25 billion and launched a stablecoin with a New York trust license. Their workforce now sits at about 1,100 employees, with plans to hire more in the U.S. The regulatory cloud that once hung over them? Gone.
Ripple’s CEO hasn’t been shy about crediting political shifts for the improved regulatory environment. CEO Brad Garlinghouse has publicly stated that former SEC chair Gary Gensler was on the wrong side of the law. The upcoming leadership change at the SEC—with Gary Gensler on his way out—signals a potential pivot in crypto regulation. This case exemplifies the jurisdictional overlaps that create complex compliance challenges throughout the cryptocurrency industry. Critics have long argued the SEC wasted resources targeting firms like Ripple while missing the warning signs at now-collapsed entities like FTX and Celsius. Priorities, right?
The case has broader implications for crypto regulation. It’s helping define how digital assets are classified by regulators—something the industry has begged for. Ripple expects progress on stablecoin and market structure legislation soon.
The settlement is expected to finalize within 60 days of SEC approval, closing a chapter that cost the company millions in legal fees and market value. But Ripple emerges with regulatory clarity that many crypto companies still desperately seek.
For the wider crypto industry, the outcome represents a rare win against regulators who’ve largely approached digital assets with suspicion. Sometimes, even in crypto, patience pays off.
