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community's organized efforts have emerged as a pivotal factor in the resolution of the U.S. Securities and Exchange Commission (SEC) v. Ripple lawsuit, which concluded in August 2025. John E. Deaton, an attorney who played a key role in the case, highlighted the impact of the XRP Army, a term used to describe the token's passionate supporters, in shaping the court's decision. Deaton noted that Judge Analisa Torres referenced briefs, XRP holder affidavits, and prior arguments from Deaton in the LBRY case as part of the final ruling [1]. Ripple’s Deputy General Counsel, Deborah McCrimmon, acknowledged the legal and public campaigns organized by the XRP community as a significant contributing factor to the outcome [1].The legal battle, which began in December 2020, posed existential threats for XRP, leading to a 62% price drop and mass delistings. Ripple, which operates XRP as part of its cross-border payment infrastructure, faced claims from the SEC that it had sold $1.3 billion worth of unregistered securities since 2013. The resolution of the case in 2025 marked a turning point, with XRP officially classified as a digital commodity in secondary markets, removing its status as a security when sold on public exchanges [2]. This reclassification provided a clear legal precedent and positioned XRP as a regulated digital asset, distinct from many of its competitors.
The XRP community’s mobilization, including the submission of over 75,000 affidavits and statements in support of Ripple, demonstrated the strength of its network. These efforts were complemented by social media campaigns and petitions aimed at maintaining public attention on the case. The XRP Army, once a term of derision among critics, became a unifying force that rallied behind Ripple’s legal defense [2]. This organized support, combined with the legal team's strategic actions, contributed to a series of court victories for Ripple, culminating in the final settlement of the case [2].
The conclusion of the lawsuit has had immediate and tangible effects on XRP's market dynamics. Following the August 7, 2025, decision, XRP surged by approximately 4.5%, reaching $3.00, and has since traded near $2.85 as of September 2025 [4]. Analysts suggest that the removal of regulatory uncertainty has opened the door for broader institutional adoption and expanded XRP's utility in cross-border payments and decentralized finance (DeFi) applications [4]. The token's reclassification also aligned it with
and under the CLARITY Act, a regulatory framework designed to modernize digital asset oversight.Looking ahead, the potential approval of XRP spot exchange-traded funds (ETFs) could further amplify the token's momentum. As of September 2025, 15 ETF applications had been filed with the SEC, with a 95% probability of approval by year-end [4]. The ProShares Ultra XRP ETF (UXRP), a 2x leveraged futures-based fund, attracted $1.2 billion in inflows within its first month, signaling strong institutional interest. Experts project that ETF approvals could inject $4.3–$8.4 billion into the XRP market, creating upward price pressure and enhancing liquidity [4].
Despite the positive developments, XRP faces challenges, including the need for sustained on-chain activity and increased total value locked (TVL). While the XRP Ledger processes around 2 million transactions per day, some community members have expressed concerns about the pace of real-world adoption [1]. Projects like Doppler and Flare are working to expand XRP’s use cases beyond cross-border payments, but the token’s success will depend on whether its utility keeps pace with its legal clarity [1].
In the short term, XRP’s price remains sensitive to macroeconomic shifts, particularly the U.S. Federal Reserve's interest rate decisions. Market participants are closely monitoring key inflation indicators ahead of the September 17, 2025, rate decision. A 25-basis-point rate cut is currently favored by the market, which could boost risk assets, including XRP [3]. However, any delay in ETF approvals or unexpected regulatory actions could temper the token’s upward trajectory [4].
The legal clarity and institutional adoption surrounding XRP have positioned it as a unique asset in the cryptocurrency market. Unlike Bitcoin and Ethereum, which rely on informal SEC guidance, XRP now benefits from a binding legal precedent that differentiates it from institutional sales classified as unregistered securities. This distinction, combined with Ripple's strategic expansion in global markets and its acquisition of Hidden Road in April 2025, has strengthened the token’s long-term fundamentals [2]. As the crypto ecosystem continues to evolve, XRP’s role as a bridge between traditional finance and digital infrastructure appears increasingly compelling.
Source:
[1] XRP Army Helped Sway SEC vs Ripple Case, Says Deaton (https://cryptopotato.com/?p=411237)
[2] Ripple vs. SEC: How the lawsuit strengthened XRP's narrative (https://cointelegraph.com/explained/ripple-vs-sec-how-the-lawsuit-strengthened-xrps-narrative)
[3] XRP Price Forecast: Why XRP could defy September's bearish sentiment (https://www.mitrade.com/insights/news/live-news/article-3-1086129-20250902)
[4] XRP Price: Regulatory Clarity and Institutional Adoption Signal Stronger Fundamentals (https://www.bitget.com/news/detail/12560604945381)

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