The U.S. Securities and Exchange Commission (SEC) has officially dropped its lawsuit against Ripple Labs, bringing an end to a multi-year legal battle that has shaped the crypto industry.
Ripple CEO Brad Garlinghouse confirmed the news, marking a significant regulatory victory for the company and the broader crypto market.
The End of a Three-Year Legal Battle
The SEC sued Ripple in December 2020, alleging it conducted an unregistered securities offering worth $1.3 billion through XRP sales. The case saw a major turning point in July 2023 when Judge Analisa Torres ruled that XRP’s programmatic sales to retail investors did not qualify as securities transactions.
However, the court upheld that institutional sales of XRP violated securities laws, keeping the case open for further legal action. Now, with the SEC dropping its appeal and lawsuit, Ripple has achieved full regulatory clarity, solidifying XRP’s status as not a security in the U.S.
How This Decision Impacts Crypto Regulation
The SEC’s withdrawal sets a critical precedent for how digital assets are classified in the U.S. It also raises questions about the agency’s approach to crypto enforcement moving forward.
Many industry leaders view this as a step toward clearer crypto regulations, reducing uncertainty for other blockchain projects facing legal scrutiny. This decision could also influence future court rulings involving crypto tokens.
XRP Price Surges as Investors React
🚀 XRP’s price saw an immediate jump following the announcement, reflecting strong investor optimism.
📊 The market reaction suggests growing confidence in Ripple’s long-term prospects.
With this legal battle over, attention now turns to how the SEC will reg
