XRP News Today: Ripple Ends Legal Battle With SEC, Accepts $125 Million Fine

Ripple Labs has officially concluded its lengthy legal battle with the U.S. Securities and Exchange Commission. According to Ripple CEO Brad Garlinghouse, the company has withdrawn its cross appeal, and the SEC is expected to do the same. This development marks a decisive end to a nearly five-year dispute that began in December 2020. The SEC initially sued Ripple over claims that its XRP token was sold as an unregistered security. Legal proceedings have since influenced how digital assets are viewed in U.S. regulatory frameworks.

Judge Analisa Torres delivered a pivotal ruling in July 2023 that reshaped the case’s direction. She determined that institutional XRP sales breached securities laws, while programmatic sales on public exchanges did not. This distinction offered Ripple a partial legal win and provided important guidance for the broader crypto market. Ripple later contested a $125 million civil fine and a permanent injunction on institutional XRP sales. The SEC, meanwhile, considered challenging the court’s stance on public XRP transactions. However, the regulatory agency chose not to proceed with its appeal earlier in 2025.

On June 26, Judge Torres declined Ripple’s attempt to reduce its penalty and lift the injunction. One day later, Garlinghouse confirmed in a post on X that Ripple would end its cross appeal. The SEC is expected to formally end its own appeal, finalizing the litigation. By ending the appeal process, both Ripple and the SEC have accepted the court’s 2023 judgment. Ripple will pay the full $125 million fine and remain restricted from conducting institutional XRP sales in the U.S. However, the classification of XRP as a non-security for retail trading remains unchallenged.

This resolution provides Ripple with legal certainty in retail markets. It also lifts a long-standing shadow over XRP, allowing the firm to resume operations without courtroom distractions. Garlinghouse emphasized Ripple’s renewed focus on its central objective of creating a global value network. The company aims to expand its payment services using XRP to enable real-time and cost-efficient cross-border transactions. Ripple’s ability to now engage global partners without legal overhang is seen as a key step toward growth. Market participants are likely to interpret the finality of this case as a stabilizing factor for XRP and the digital asset space.

Ripple’s decision to end its legal pursuit, coupled with the SEC’s expected withdrawal, closes a landmark chapter in crypto regulation. The outcome reinforces XRP’s legal status in the U.S. retail market while placing institutional sales under ongoing scrutiny. The legal dispute reached a significant milestone in July 2023 when Judge Analisa Torres ruled that XRP itself is not a security. However, she found Ripple guilty of securities violations in its institutional sales, resulting in a $125 million penalty. Both the SEC and Ripple filed appeals in January 2025, with the SEC aiming to reverse parts of the earlier decision and Ripple seeking to challenge the ruling. In May, both parties proposed a tentative $50 million settlement, but Judge Torres rejected this request, leaving the original penalties in place.

Following the judge's rejection, Ripple CEO Brad Garlinghouse announced on June 27 that the company would withdraw its cross-appeal, accepting the $125 million civil penalty. This move is expected to be mirrored by the SEC, marking the official conclusion of the legal standoff. Garlinghouse emphasized that Ripple is now focused on building the "Internet of Value," signaling a shift towards innovation and growth rather than continued litigation. The decision to end the legal battle is significant for several reasons. Firstly, it provides much-needed legal clarity for XRP, as the court's ruling that XRP is not a security in the open market remains unchanged. This clarity could pave the way for greater adoption and integration of XRP in the financial sector. Secondly, it allows Ripple to move forward without the burden of ongoing legal disputes, enabling the company to concentrate on expanding its services and partnerships.

The resolution of this case is also likely to have broader implications for the cryptocurrency industry. The legal battle between Ripple and the SEC has been closely watched by industry participants, as it has raised important questions about the regulatory treatment of digital assets. The outcome of this case could set a precedent for how other cryptocurrencies are regulated in the future, potentially influencing the development of the industry as a whole. In summary, Ripple's decision to drop its cross-appeal against the SEC marks the end of a lengthy legal dispute that has had significant implications for the cryptocurrency industry. The resolution of this case provides legal clarity for XRP and allows Ripple to focus on innovation and growth. The outcome of this case could also have broader implications for the regulatory treatment of digital assets, potentially influencing the development of the industry in the years to come.