According to several sources, the SEC is preparing to drop its case against Ripple. Previously, there were speculations that the commission caused delays, but that may be a negotiating tactic from Ripple.
In August 2024, a judge ruled that Ripple must pay a fine of $125 million and receive a permanent ban on selling XRP to institutional investors. With Gensler out of the picture, the SEC may agree to lift these penalties.
Is the SEC case against Ripple nearing its end?
The SEC's case against Ripple is a pivotal legal battle for the cryptocurrency industry and may be the most significant enforcement action by the commission under Gary Gensler's leadership.
Since Trump's inauguration, the SEC has dropped several lawsuits and investigations, but there haven't been many updates on this case. However, that may all change:
In August 2024, a federal judge attempted to resolve the lawsuit, ordering Ripple to pay $125 million to the SEC. The company was also barred from selling XRP to institutional investors.
Basically, Ripple's lawyers have been trying to remove some or all of these penalties. Dropping the lawsuit would be a significant victory, but the SEC may be receptive to this argument.
The SEC removed Ripple's lawsuit from its site in January, but there haven't been many updates since then. This has led to much speculation about whether the commission is deliberately delaying. The SEC used this tactic on some altcoin ETF requests just yesterday.
Since this news broke, the price of XRP has responded somewhat positively. The asset's price has fluctuated significantly today, but it has only risen since these rumors began to spread. We hope this helps create some bullish momentum for the future.
In the end, however, there is no rush for a resolution. The SEC has postponed some other lawsuits before dismissing them, but Ripple's lawsuit has a later deadline. Ripple will need to file an appeal brief by April 16.
If not dropped first, this could have a pivotal impact on the case. The XRP community may expect bullish news in the future, but gains are likely not to be immediate.
Disclaimer: This content is informational and should not be considered financial advice. The opinions expressed in this article may include the author's personal views and do not reflect my own. We encourage readers to conduct thorough research before making any investment decisions. I am not responsible for any financial losses.
