XRP News Today: Ripple and SEC End 5-Year Legal Battle XRP Surges 10.6%

The U.S. Securities and Exchange Commission and Ripple Labs have formally withdrawn their appeals in a landmark legal case that lasted nearly five years, effectively ending one of the most significant disputes in the crypto industry [2]. The Second Circuit Court of Appeals confirmed the dismissal on August 7, 2025, following a joint filing from both parties [3]. The resolution preserves the July 2023 ruling by U.S. District Judge Analisa Torres, which found that XRP sold through public exchanges did not qualify as securities, while institutional sales did [1].

The court’s 2023 decision had already imposed a $125 million fine on Ripple, far less than the $2 billion sought by the SEC. Both parties have agreed to cover their own legal costs, with no additional financial concessions [2]. Ripple’s chief legal officer, Stuart Alderoty, confirmed the dismissal in a public post, signaling a return to business focus and operational expansion [3]. Ripple had previously attempted to reduce the penalty in June 2025, but the judge denied the request, emphasizing the need for continued compliance [2].

The settlement follows a broader trend of the SEC withdrawing or scaling back several crypto-related lawsuits in recent months. This shift has been attributed in part to the changing political landscape, with Donald Trump, who initiated the 2020 lawsuit, now advocating for reduced regulatory pressure on the crypto industry [1]. The resolution of the Ripple-SEC case may signal a more measured approach from the agency in the near future.

The market has responded positively to the news, with XRP experiencing a nearly 99% increase from its April low of $1.79 to a peak of $3.56 in July [1]. On the day of the dismissal, the token rose 10.6%, closing at $3.31 [1]. Analysts suggest that the legal clarity provided by the ruling has increased institutional confidence in XRP and other digital assets [4]. Ripple has also announced plans to refocus on its public offering strategy and expand its payments and stablecoin services, including its recent acquisition of the Canadian Rail platform for $200 million [8].

The case has served as a pivotal moment in the debate over how digital assets should be classified under U.S. securities law. While the settlement does not resolve all regulatory questions, it offers a precedent that could shape future legal actions and policy developments [4]. Ripple has maintained that the dismissal does not amount to an admission of wrongdoing and continues to advocate for a balanced regulatory framework [2]. With the legal uncertainty now behind it, the company is positioned to scale its operations and strengthen its role in the global financial ecosystem [1].

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[1] SEC and Ripple case is officially over (https://www.thestreet.com/crypto/policy/sec-and-ripple-case-is-officially-over)

[2] XRP News Today: Ripple and SEC Settle Four-Year Legal ... (https://www.ainvest.com/news/xrp-news-today-ripple-sec-settle-year-legal-dispute-125m-fine-2508/)

[3] XRP Lawsuit Ends as Ripple and SEC File Joint Dismissal (https://coingape.com/xrp-lawsuit-ends-as-ripple-and-sec-file-joint-dismissal/)

[4] SEC, Ripple end five-year legal back-and-forth with joint ... (https://www.cryptopolitan.com/sec-ripple-joint-dismissal-of-appeals/)

[7] XRP Regains Perch Above $3 As Crucial Date In Ripple vs ... (https://zycrypto.com/xrp-regains-perch-above-3-as-crucial-date-in-ripple-vs-sec-case-approaches/)

[8] Ripple to buy Canadian stablecoin platform Rail for $200M (https://www.bankingdive.com/news/ripple-acquire-rail-200-million-crypto-stablecoin/757092/)