Stars Align For XRP Rally As Court Pauses Ripple vs. SEC Appeal
The U.S. Court of Appeals has paused the legal case between Ripple and the SEC as both sides are finalizing a $50 million settlement. This move might be great for the XRP market.
Court Puts SEC Appeal On Hold
Judge José A. Cabranes has agreed to stop the ongoing appeal process between Ripple and the SEC. Both parties asked for this pause so they can focus on closing the agreement. No new court actions will happen while this pause is active.
The SEC has been given two months to update the court about the settlement status.
Earlier reports mentioned that the SEC decided to drop its appeal after its former Chair, Gary Gensler, stepped down. Ripple also dropped its counter-appeal after reaching a favorable outcome. Out of a $125 million fine, Ripple will pay $50 million, and the rest will be refunded.
Before everything is finalized, the SEC needs its internal team, including its new crypto-friendly Chair Paul Atkins, to officially approve this decision.
Background Of The Ripple-SEC Case
This legal fight started in December 2020 when the SEC claimed Ripple had raised $1.3 billion by selling XRP without proper registration.
In July 2023, a judge ruled that XRP sold through exchanges did not break the law. The SEC filed an appeal later, saying Ripple still broke the law through direct XRP sales and personal transactions by company executives.
With the appeal now paused and a strong chance of full settlement, XRP might experience a large price increase.
At the time of writing, XRP was trading at $2.08, slightly down by 0.6% in the last 24 hours.
Why This Matters
The Ripple vs. SEC case has been going on for over 4 years and has held back XRP’s growth. Now that the battle is ending, many believe XRP’s price could rise to a new all-time high. Investors are hopeful that the legal uncertainty is finally ending.
Disclaimer
This post is for informational purposes only and should not be considered financial advice. Always do your own research before investing in cryptocurrencies.
