XRP News Today: Ripple Secures Major Legal Win as SEC Lifts Bad Actor Disqualification

The U.S. Securities and Exchange Commission has issued a new order waiving the “Bad Actor” disqualification rule that had been applied to Ripple since 2020, when a federal court issued a permanent injunction against the company. This waiver, announced on July 31, 2025, removes a key regulatory barrier that previously restricted Ripple’s ability to conduct private securities offerings under Regulation D [1]. The move is considered a significant legal win for the company, as it allows Ripple to once again access private fundraising tools that are critical for supporting its broader business goals, including its application to establish the Ripple National Trust Bank (RNTB) [2].

The decision follows a joint motion filed by Ripple and the SEC on August 7, 2025, to dismiss all appeals related to their years-long legal dispute. This marks the formal conclusion of the litigation, which began in December 2020 when the SEC alleged that XRP was being sold as an unregistered security. Ripple has agreed to a $125 million settlement as part of the resolution [3]. The outcome brings a degree of regulatory clarity to the company and its native token, XRP, and is viewed as a key step in reducing the legal and financial risks associated with ongoing litigation.

Bill Morgan, a legal expert who has closely followed the case, described the waiver as the “next best thing” given that the permanent injunction remains in place. He noted that Ripple is no longer barred from conducting exempt securities offerings, which will provide the company with greater flexibility in raising capital and supporting its strategic initiatives [4]. This development is expected to facilitate faster fundraising and reduce compliance burdens associated with registered offerings, which are typically more time-consuming and costly.

The legal resolution also had an immediate impact on XRP’s price. On August 1, 2025, the token surged to $3.30, driven by renewed investor optimism. Shortly after the announcement, large investors moved $1.9 billion worth of XRP, raising questions about potential short-term selling pressures [5]. However, the price continued to hover near the $3 level, indicating that market sentiment remains largely positive despite the large whale activity.

Analysts have highlighted the potential for XRP to become a candidate for inclusion in exchange-traded funds (ETFs), a move that could drive further demand and price appreciation. With the SEC lawsuit now officially over and the “Bad Actor” disqualification lifted, institutional investors may begin to view XRP as a more viable asset for inclusion in regulated investment products [6]. This shift could signal a broader acceptance of XRP within the traditional financial system and pave the way for increased institutional participation in the cryptocurrency market.

While XRP is unlikely to surpass Bitcoin in market capitalization, its role in cross-border payments and its low transaction costs continue to position it as a strong competitor in the digital asset space. The recent regulatory developments are expected to enhance the token’s utility and adoption, particularly in the financial services sector [7]. Some investors have already shifted their strategies in response to the regulatory clarity, with reports indicating that XRP holders are increasingly exploring platforms that offer staking or yield-generating opportunities [8].

The resolution of the Ripple-SEC case also reflects a broader trend in how regulators are beginning to approach digital assets with a more structured and pragmatic mindset. As the cryptocurrency industry continues to mature, legal clarity and institutional acceptance are likely to play an increasingly important role in shaping the future of digital assets like XRP.

Sources:

[1] AOL.com, [https://www.aol.com/news/sec-ends-lawsuit-against-ripple-154403130.html](https://www.aol.com/news/sec-ends-lawsuit-against-ripple-154403130.html)

[2] Times, [https://timestabloid.com/another-big-win-for-xrp-sec-makes-fresh-order-in-favor-of-ripple/](https://timestabloid.com/another-big-win-for-xrp-sec-makes-fresh-order-in-favor-of-ripple/)

[3] Brave, [https://bravenewcoin.com/insights/xrp-price-prediction-xrp-eyes-8-breakout-as-ripple-sec-lawsuit-officially-ends](https://bravenewcoin.com/insights/xrp-price-prediction-xrp-eyes-8-breakout-as-ripple-sec-lawsuit-officially-ends)

[4] The, [https://m.economictimes.com/news/international/us/xrp-price-today-hits-3-dollars-thirty-after-ripples-legal-win-1-9-billion-dollar-whale-sell-off-and-big-money-moves-is-4-dollars-next/articleshow/123197387.cms](https://m.economictimes.com/news/international/us/xrp-price-today-hits-3-dollars-thirty-after-ripples-legal-win-1-9-billion-dollar-whale-sell-off-and-big-money-moves-is-4-dollars-next/articleshow/123197387.cms)

[5] The, [https://m.economictimes.com/news/international/us/xrp-price-today-whales-dump-1-9b-after-ripples-legal-win-short-term-test-or-medium-term-breakout-ahead/articleshow/123176340.cms](https://m.economictimes.com/news/international/us/xrp-price-today-whales-dump-1-9b-after-ripples-legal-win-short-term-test-or-medium-term-breakout-ahead/articleshow/123176340.cms)

[6] Yahoo, [https://finance.yahoo.com/news/xrp-millionaire-maker-080000079.html](https://finance.yahoo.com/news/xrp-millionaire-maker-080000079.html)

[7] The, [https://www.fool.com/investing/2025/08/08/can-xrp-ever-surpass-bitcoin/](https://www.fool.com/investing/2025/08/08/can-xrp-ever-surpass-bitcoin/)

[8] CoinCentral, [https://coincentral.com/xrp-investors-flock-to-bay-miner-after-regulatory-boost-earning-up-to-41000-monthly/](https://coincentral.com/xrp-investors-flock-to-bay-miner-after-regulatory-boost-earning-up-to-41000-monthly/)