One of the longest-running legal battles in the U.S. crypto industry — the SEC vs Ripple case — has officially ended after both parties withdrew their respective appeals. The news triggered a sharp rally in XRP’s price.
The lawsuit, filed in 2020, accused Ripple of violating securities laws through the sale of its XRP token. After years of proceedings, Judge Analisa Torres ruled in July 2023 that sales to institutional investors violated the law, while retail sales on exchanges would not be considered securities. Ripple was fined $125 million and faced a permanent injunction against such violations.
Following the case’s closure, XRP surged 7% to $3.27. Ripple CEO Brad Garlinghouse had stated in June that the company would now fully focus on building its “Internet of Value” vision.
This outcome stands as a major legal precedent in the crypto market, clarifying that while institutional token sales remain prohibited, retail trading on exchanges will not be classified as securities transactions.
