#Ripple and #SEC Request Court Dissolution of
$XRP Injunction
The SEC and #RippleLabs have filed joint motions to dissolve existing injunctions and release $125 million in escrow funds.
Under the proposed settlement, #Ripple would pay $50 million in civil penalties, with the remaining funds returned to the company.
The agreement represents a significant step toward ending the four-year legal battle over
$XRP sales as alleged unregistered securities.
U.S. District Judge Analisa Torres must approve the joint motion before the settlement becomes effective.
The SEC originally sought $2 billion in penalties after filing the lawsuit in 2020, claiming Ripple raised $1.3 billion through unauthorized securities offerings.
Judge Torres previously ruled that programmatic
$XRP sales to retail buyers did not constitute securities transactions.
However, the court found violations in Ripple's institutional sales to sophisticated investors.
The #SEC under new leadership agreed to the reduced settlement as the agency shifts away from aggressive crypto enforcement.
Several high-profile crypto lawsuits initiated under former Chair Gary Gensler have been withdrawn under the Trump administration.
