The long-running legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) has come to an end with both parties agreeing to a $50 million settlement.
The settlement, filed in New York on Thursday and awaiting judicial approval, sees both parties agreeing to drop their respective lawsuits. The agreement also results in the majority of the $125 million fine previously imposed by the SEC being refunded to Ripple.
This settlement follows a 2023 ruling regarding Ripple's sale of XRP tokens. Judge Torres ruled that the sale of XRP to institutional investors violated securities laws, but the sale to retail investors was not deemed illegal. The lawsuit was initially filed under the SEC's former Chairman Jay Clayton and, following Ripple's appeals, the settlement was reached.
Under the Trump administration, significant changes occurred in the SEC's approach to cryptocurrency, with the agency stepping back from several lawsuits initiated under Chairman Gary Gensler's leadership.
