Ripple vs SEC Legal Battle Ends, XRP Price Surges 10.68%

XRP's latest price was $3.31, up 10.683% in the last 24 hours. The legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) has officially concluded, with both parties filing a joint stipulation to dismiss their appeals in the long-running XRP case. The U.S. Court of Appeals for the Second Circuit received the joint filing on Aug. 7, 2025, ending the SEC’s appeal and Ripple’s cross-appeal. The legal clash began in 2020 and has been a defining case in how digital assets are treated under U.S. securities law. The filing, submitted under Federal Rule of Appellate Procedure 42(b)(1), explicitly stated that “each party will bear its own costs on appeal.” It noted that the dismissal applies to “the above-captioned appeals,” referring to the main appeal by the SEC and the corresponding cross-appeal by Ripple. The submission also confirmed that the parties “have agreed to the dismissal and have signed this stipulation,” signaling a mutual decision to avoid further court action. The move ends the prospect of any appellate review, leaving the lower court rulings intact but without a binding precedent from the Second Circuit. Ripple Chief Legal Officer Stuart Alderoty detailed that following the Commission’s vote, the SEC and Ripple formally filed directly with the Second Circuit to dismiss their appeals. The end of the legal battle allows Ripple to focus on its business operations.

The dispute originated from the SEC’s 2020 lawsuit, which accused Ripple and its executives of conducting an unregistered securities offering of XRP that raised over $1.3 billion. US District Judge Analisa Torres ruled in 2023 that XRP sales on public exchanges did not constitute securities transactions, delivering a partial victory to Ripple while maintaining several other claims. While the appellate proceedings have concluded, the district court judgment remains in effect, preserving the legal precedent that Ripple has characterized as an industry victory. The legal battle between Ripple and the SEC has had significant implications for the broader cryptocurrency industry, as it has influenced regulatory oversight and compliance standards. The resolution of the case provides clarity for other digital asset projects and investors, as it sets a precedent for how securities laws apply to cryptocurrencies. The dismissal of the appeals means that the lower court’s rulings will stand, but they will not be binding precedent for future cases. This allows Ripple to move forward with its business operations without the uncertainty of further legal challenges. The end of the legal battle also marks a significant milestone for the cryptocurrency industry, as it provides regulatory clarity and paves the way for greater adoption and innovation in the space.

In a landmark move for cryptocurrency regulation, XRP has been officially classified as a commodity under the U.S. Commodity Futures Trading Commission (CFTC) through its inclusion in regulated Event Contracts. This update marks a significant step toward institutional clarity and recognition for XRP within the U.S. financial system. These contracts allow traders to speculate on XRP’s price movements within defined time intervals, either every 2 hours or every 20 minutes, using set strike prices and payouts. According to official filings, the underlying asset for these contracts is the spot XRP bid/ask midpoint price, reported by Lukka Inc. and labeled “U-XRP.” Each Event Contract is structured to pay out between $0 and $100, depending on the final settlement price relative to the selected strike price. The most notable aspect of this listing is the regulatory classification of XRP as a commodity, not a security. This sharply contrasts with the long-standing position of the U.S. Securities and Exchange Commission (SEC), which has argued in court that XRP constitutes a security under federal law. With the CFTC recognizing XRP as a tradable commodity within its regulated derivatives framework, the asset joins an exclusive class of cryptocurrencies—alongside Bitcoin and Ethereum—that enjoy similar treatment. This shift may also reduce legal uncertainty surrounding XRP, providing the kind of regulatory clarity institutional investors require. XRP’s inclusion in CFTC-supervised Event Contracts could unlock new forms of market participation, particularly among hedge funds, proprietary trading firms, and other institutional players that operate under strict compliance standards. These contracts offer not just a price exposure tool but a regulated gateway to interact with XRP under the same commodity framework that governs oil, gold, and wheat. Moreover, the listing may pave the way for future XRP-based derivatives, such as CFTC-approved futures or options contracts, adding greater depth and maturity to the asset’s financial ecosystem. As XRP cements its place under the CFTC’s commodity banner, it takes a crucial step closer to mainstream legitimacy, paving the way for innovation, participation, and long-term confidence in its regulatory standing.

Ripple has entered into a $200 million agreement to purchase Rail, a Toronto-based payments platform. The acquisition will allow Ripple to deliver a comprehensive stablecoin payments service, the company said, noting that Rail will provide Ripple with the ability to offer so-called virtual accounts while streamlining operations. This acquisition underscores Ripple’s commitment to helping its global customer base move money wherever and whenever they need. Stablecoins are quickly becoming a cornerstone of modern finance. Ripple said the companies will be focused on payment ramps that allow customers to swap between stablecoins and traditional payments formats. Virtual accounts allow customers to transact in digital assets without needing to create a digital wallet. Rail has over 12 banking partners, and the company services fintechs, payment providers, neobanks, and enterprise organizations. Dedicated features for banking partners include know-your-customer workflows, compliance considerations, and transaction monitoring. When it comes to facilitating payments, Ripple’s RLUSD stablecoin will be supported through the acquisition, as well as the cryptocurrency XRP. The stablecoin has a market capitalization of $611 million since its December debut. Ripple has been ramping up activity in the payments space, with the passage of stablecoin legislation last month expected to supercharge the sector as big banks step in. Ripple itself has moved toward the traditional banking system, with CEO Brad Garlinghouse saying that the company filed for a banking license with the Office of the Comptroller of the Currency in July. The company is already subject to oversight from New York regulators. Earlier this year, Ripple acquired the crypto-friendly prime brokerage Hidden Road for $1.25 billion, while aiming to serve institutional clients on a larger scale. It was among the most highly valued deals in Ripple’s history. The acquisition of Rail is a strategic move for Ripple, as it allows the company to expand its stablecoin payments services and streamline operations. The deal also highlights Ripple’s commitment to compliance and regulatory standards, as Rail’s features for banking partners include know-your-customer workflows and transaction monitoring. The acquisition of Rail is expected to enhance Ripple’s ability to facilitate payments using its RLUSD stablecoin and XRP cryptocurrency. The deal also positions Ripple to take advantage of the growing stablecoin market, as stablecoins are becoming an increasingly important part of modern finance. The acquisition of Rail is a significant step for Ripple, as it allows the company to expand its stablecoin payments services and streamline operations. The deal also highlights Ripple’s commitment to compliance and regulatory standards, as Rail’s features for banking partners include know-your-customer workflows and transaction monitoring. The acquisition of Rail is expected to enhance Ripple’s ability to facilitate payments using its RLUSD stablecoin and XRP cryptocurrency. The deal also positions Ripple to take advantage of the growing stablecoin market, as stablecoins are becoming an increasingly important part of modern finance.

The protracted legal conflict between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) has formally concluded. Documents filed by both parties on August 8, 2025, resulted in the mutual dismissal of all appeals, definitively ending the five-year lawsuit initiated by the SEC against Ripple in 2020 concerning the status of XRP. This dismissal represents the final chapter in the landmark litigation. Significantly, a key aspect of this resolution involves the SEC deliberating on and accepting Ripple's withdrawal of its appeal. This action effectively solidifies XRP's standing as a non-security under U.S. law, removing a substantial regulatory uncertainty that had persisted over the cryptocurrency for years. The finality of the dismissal brings significant clarity to XRP's regulatory position within the United States. Parallel to these legal developments, institutional adoption momentum continues to build. SBI Holdings has made a notable move by filing an application for a Bitcoin-XRP Exchange-Traded Fund (ETF). This filing underscores growing institutional interest in integrating XRP into traditional financial products, highlighting the asset's perceived utility within diversified treasury strategies. It points towards an expanding infrastructure supporting institutional engagement. Amidst the regulatory clarity emerging from the court dismissal, discussions concerning the operational governance of the XRP Ledger (XRPL) persist. Ripple executives continue to address recurring inquiries from the community regarding the company's influence over the ledger's core development. CTO David Schwartz has publicly clarified Ripple's role, emphasizing efforts to maintain the XRPL's decentralized nature. The resolution of the SEC case is anticipated to have considerable implications for XRP's integration into the broader financial landscape. Market analysts and institutional observers, including entities like Galaxy Digital noting XRP's prominence within their holdings framework, suggest the removal of regulatory barriers stemming from the lawsuit could accelerate adoption trends, particularly in regions like Asia. The conclusion is viewed as a pivotal step enabling further enterprise and institutional utilization. Looking beyond the immediate U.S. legal resolution, market participants remain attentive to broader regulatory discussions concerning digital assets. Further clarity from regulatory bodies could influence XRP's position within various international markets and potentially impact the trajectory of applications like SBI Holdings' proposed Bitcoin-XRP ETF, contributing to the next phase of institutional integration.