Ripple v SEC Legal Battle Concludes, XRP Price Drops 1.413%

XRP's latest price was $3.14, down 1.413% in the last 24 hours. The conclusion of the Ripple v SEC legal saga has brought a renewed sense of optimism to the XRP community and the broader cryptocurrency market. The U.S. Securities and Exchange Commission (SEC) ended its prolonged legal battle against Ripple Labs, its chief executive Bradley Garlinghouse, and co-founder Chris Larsen. This development has allowed minds once occupied with litigation to focus on creating a clear regulatory framework for crypto. The SEC announced on Aug. 7, 2025, that it had filed a joint stipulation of dismissal with Ripple, ending both its appeal and Ripple’s cross-appeal before the U.S. Court of Appeals for the Second Circuit. The district court’s prior ruling, which imposed a civil penalty on Ripple and issued an injunction to prevent further violations of the Securities Act of 1933, will remain in place. This action formally concludes a case that began in December 2020, when the SEC alleged that Ripple had engaged in unregistered securities offerings through sales of XRP. In addition, the SEC granted Ripple a waiver for Regulation D, removing the “bad actor” designation tied to its lawsuit. This allows Ripple to more easily raise capital from accredited investors, signaling a potential shift in the regulatory landscape following their legal battle. SEC Chair Paul Atkins echoed Commissioner Peirce’s remarks, stating that with this chapter closed, the SEC now has an opportunity to shift its energy from the courtroom to the policy drafting table. The SEC recently launched “Project Crypto” to modernize regulations and enable America’s financial markets to move “on-chain.” This initiative aims to provide clear guidelines for classifying crypto assets and integrating tokenized securities into decentralized finance, signaling a shift from enforcement-only to a more comprehensive regulatory approach. Ripple’s chief legal officer Stuart Alderoty directed his thanks to Atkins for his leadership in moving America towards clear rules of the road for crypto.

XRPL Labs has issued an urgent security advisory to the XRP community amid a rise in sophisticated online scams. Founder Wietse Wind reported multiple cases involving phishing campaigns, fake applications, and impersonation attempts. The warning stressed that engaging with these fraudulent channels could result in immediate loss of funds. Scammers are targeting users through emails, fake social media accounts, and direct messages imitating XRPL Labs. These messages often reference false “service interruptions” or promote a non-existent “Xaman desktop client.” Attackers redirect users to malicious websites or prompt downloads of harmful files. They also attempt to trick users into revealing secret keys or recovery phrases. Once acquired, these details allow criminals to drain entire XRP accounts. Reports indicate that counterfeit tokens and web wallets are also being distributed. Scammers use XRPL-related branding to gain user trust quickly. As a result, unsuspecting users are more likely to interact with fraudulent platforms. XRPL Labs has clarified that its design deliberately avoids desktop and browser-based transaction signing. The company cited significantly higher risks in those environments. The official Xaman wallet operates exclusively as a mobile application. Wind emphasized that XRPL Labs does not send unsolicited emails or out-of-app support messages. All genuine assistance is provided directly within the mobile application. Users can verify authenticity through XRPL Labs’ published list of communication channels. Community members are advised to treat any external message as potentially dangerous. They should avoid clicking unfamiliar links or installing unverified software. Even urgent-sounding service alerts must be confirmed within the official Xaman app. The advisory stressed that security responsibility begins with each user. XRPL Labs urged holders to report impersonation accounts, phishing attempts, and suspicious links. These reports should be made both to the hosting platform and through official XRP support. Maintaining asset safety requires exclusive use of official XRP Ledger products and channels. Engaging with unverified sources exposes accounts to immediate compromise. Therefore, users should never share recovery information under any circumstances. Wind’s statement highlights the growing risks as XRP adoption expands. Holders can prevent unauthorized access by staying within verified XRPL environments, which remain the most reliable defense against evolving online scams.

Crypto commentator, SMQKE, has shared a provocative insight from a recent Bank Negara Malaysia (BNM) working paper: “Private tokens such as XRP may be widely used as means of payment outside the banking system in the future, replacing CIC or bank deposits.” The post went viral on X, underlining growing interest in how digital tokens might evolve as alternatives to conventional deposit systems. The quote originates from BNM’s working paper (WP3/2025), Fundamentals of Modern Money and its Application to Central Bank Digital Currency (CBDC): An Exploratory Shariah Analysis. This in-depth study explores modern money as a social construct supported by balance-sheet conventions and evaluates whether privately issued tokens could one day function similarly to bank deposits. The authors carefully map out legal, Shariah, and prudential dimensions, indicating that while tokens like XRP possess compelling features, regulatory and religious compliance frameworks must be fully addressed before any practical implementation. BNM’s mention of XRP is strategic. The XRP Ledger is engineered for low-cost, high-throughput payments and near-instant settlement—attributes that align closely with the characteristics expected of payment-grade tokens. These technical strengths make XRP an apt example of how private tokens, under certain conditions, might emulate or complement bank deposits in everyday transactions. The paper draws a deliberate contrast between XRP and more established cryptocurrencies such as Bitcoin and Ethereum. While these prominent tokens serve as store-of-value assets with strong decentralization, their high price volatility, limited throughput, and consensus mechanisms make them less suited for routine payments or scalable settlement rails. This rationale underpins BNM’s classification of Bitcoin and Ethereum as “unsuitable payment instruments,” especially compared to optimized alternatives like XRP. It is crucial to interpret BNM’s working paper as exploratory, not prescriptive. Although the research signals openness to examining private token use cases, BNM has not enacted any policy changes. Central banks must balance innovation with monetary stability—the potential risk of deposit disintermediation and its impact on monetary control remains paramount. Yet, BNM’s inquiry places Malaysia among a select group of central banks actively assessing private digital tokens as part of future payment architecture. The working paper lays the groundwork for future collaboration. Possible avenues include pilot programs for tokenized payments, CBDC integration studies, and Shariah-compliant regulatory frameworks. Any practical adoption would require layered steps—from legal reforms to consumer protection measures—before tokens like XRP could meaningfully complement or replicate bank deposit systems.

The extended legal confrontation between Ripple Labs and the U.S. Securities and Exchange Commission concluded definitively on August 11, 2025. Both parties agreed to mutually dismiss all pending appeals following a prior court ruling. This ruling had imposed a civil penalty on Ripple and issued an injunction restricting its sales practices of XRP within the U.S. market. The dismissal of these appeals signifies the formal resolution of the nearly four-year-long lawsuit. Regulatory experts widely regard the settlement as a pivotal development providing increased clarity for the cryptocurrency sector within the United States. By resolving litigation and avoiding further appeals, the case establishes an important precedent. It suggests that structured negotiations can lead to outcomes offering tangible regulatory guidance, potentially aiding future efforts to establish comprehensive frameworks for digital assets. This clarity is anticipated to benefit the broader blockchain industry as traditional finance institutions explore adoption. Analysts observing technical patterns noted significant activity following the legal resolution. Breakthroughs above specific levels were observed, accompanied by an increase in network activity and robust trading volumes. This technical strength was reinforced by a prevailing positive sentiment across broader cryptocurrency markets during the period, contributing to sustained momentum. The resolution is seen as a significant catalyst potentially unlocking institutional participation in the XRP ecosystem. Observers highlighted a marked increase in institutional interest correlating with the dismissal of the appeals. This shift suggests major investors now perceive reduced regulatory uncertainty surrounding XRP, viewing the settlement as removing a critical barrier to deeper engagement. Discussions within the investment community emphasized the potential risks associated with prematurely divesting promising assets like XRP. Industry voices cautioned that exiting positions too soon, especially during periods of fundamental progress such as resolving complex legal hurdles, could deprive investors of long-term value appreciation opportunities driven by improved foundational conditions and increased adoption prospects.