The long-running legal battle between the U.S. Securities and Exchange Commission (SEC) and Ripple is nearing its resolution as both parties move toward a settlement. The SEC has filed a letter requesting Judge Analisa Torres to vacate her injunction ruling against the cryptocurrency firm and reduce the monetary penalty initially imposed.
SEC Requests Court Ruling for Settlement Finalization
In its recent filing, the SEC asked Judge Torres to approve a settlement agreement with Ripple, which includes the dissolution of the injunction placed on Ripple in the original judgment. Additionally, the SEC has requested that the $125 million penalty, previously placed in escrow, be released, with $50 million allocated to the SEC to satisfy the monetary judgment and the remainder returned to Ripple.
The settlement comes after the SEC and Ripple jointly moved to suspend appeal proceedings while seeking an indicative ruling from Judge Torres to finalize their agreement. Once the judge grants the requested relief, both parties will ask the Court of Appeals for a limited remand, allowing the District Court to finalize the settlement terms. Following this, Ripple and the SEC will file motions to dismiss their respective appeals and cross-appeals.
XRP Price Spikes Amid Settlement News
The news of the potential settlement has had an immediate impact on XRP’s price, with the token surging over 8% to approximately $2.28. Crypto analysts are optimistic that this development signals a resolution to the case, providing much-needed market clarity for XRP.
Technical analysis suggests that XRP is testing key resistance levels, with the $2.25 price point identified as a crucial threshold. Analysts anticipate that breaking this level could trigger further gains for the cryptocurrency, as market sentiment turns bullish in anticipation of the legal resolution.
Ripple’s legal dispute with the SEC has been a major point of contention in the crypto world, and the resolution of the case could significantly affect the future of XRP and its market standing.
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