XRP News Today: Ripple's Bid to Ease XRP Restrictions Rejected by Judge

Ripple Labs has faced a significant setback in its ongoing legal dispute with the U.S. Securities and Exchange Commission (SEC). A federal judge has rejected the company's latest attempt to ease court-imposed restrictions related to its cryptocurrency, XRP. U.S. District Judge Analisa Torres denied a joint motion filed by both Ripple and the SEC, which sought a possible path to dissolve the standing injunction and reduce financial penalties tied to the XRP case.

The motion, filed under ECF No. 987, requested an indicative ruling from the court. This ruling would have allowed the court to signal whether it was open to changing an earlier decision that penalized Ripple for violating federal securities laws. However, Judge Torres denied the request in an official order signed and dated June 26, 2025.

The legal action began in December 2020 when the SEC sued Ripple Labs, alleging it sold XRP as an unregistered security. The agency claimed Ripple failed to provide investors with required disclosures, as mandated under the Securities Act of 1933. In July 2023, Judge Torres ruled that Ripple did breach securities laws during institutional XRP sales, although not in all transactions. As a result, Ripple faced a permanent injunction that limited its future XRP-related activities and imposed a substantial financial penalty.

These restrictions were central to the latest motion, which has now been denied. In March 2024, the SEC moved to enforce the injunction and sought further penalties. Both parties later agreed to file a joint motion requesting an indicative ruling that could potentially change those outcomes. The motion aimed to learn whether the court would consider lifting the injunction and reducing the penalty. Judge Torres rejected the motion without offering any indication that the prior ruling could be reconsidered. Her order clearly stated that the existing court sanctions would remain unchanged, and she directed the Clerk of Court to close the motion entirely.

With this latest decision, Ripple remains under the same legal obligations and financial penalties outlined in the court’s earlier summary judgment. The denial reflects the court’s firm stance on maintaining accountability for securities law violations, despite mutual efforts by both Ripple and the SEC to revisit terms. The case continues to serve as a major precedent in U.S. crypto regulation, and Ripple’s hope for relief through the courts has, for now, been shut down.