Development of Major Ripple Lawsuit Against SEC Coming This Week? (The XRP community speculates)

TL;DR

Ripple’s legal battle against the SEC may be close to a resolution after a court ordered the company to pay a fine of $125 million, far less than the regulator was initially seeking. Speculation of a deal persists, but no official confirmation has been made. XRP price continues to underperform amid broader market declines.

The next big news or just rumours?

The legal battle between Ripple and the US Securities and Exchange Commission (SEC), which has been going on for more than three and a half years, has finally moved into its final chapter.

Recall that the regulator sued the company in December 2020, accusing it of raising more than $1.3 billion by selling XRP in an unregistered securities offering. Last month, Judge Torres ruled that Ripple must pay a $125 million fine for violating certain securities laws. The sum is just a fraction of the $2 billion the SEC was initially seeking, prompting numerous industry participants to describe the decision as a major win for the company.

Two of Ripple’s top executives, CEO Brad Garlinghouse and CLO Stuart Alderoty, said the company respects the court’s decision, promising to pay the penalty.

Many members of the XRP community have recently speculated that the organization will settle with the SEC as soon as this week. X user JackTheRippler went even further, claiming that the company had already paid the fine.

It’s worth noting that both Ripple and the SEC have remained silent on the matter, meaning that the possible upcoming development could simply be speculation by the XRP army, which could be eagerly awaiting the official end of the demand

While the payment of the sum could be part of a settlement agreement, it would not necessarily mean the battle is over. Both parties must agree to terms that fully resolve the dispute. The SEC has the right to appeal the ruling until early October.

XRP Price Outlook

Ripple’s native token valuation has not been positively affected by the aforementioned rumors. It remains deep in the red on a weekly basis, currently trading south of $0.55 (according to CoinGecko data). Its underperformance coincided with a broader decline across the cryptocurrency market, with Bitcoin (BTC) falling below $58,000 and Ethereum (ETH) missing the $2,500 resistance level.

XRP Price, Source: CoinGecko

The price of XRP usually experiences increased volatility after official announcements related to the Ripple vs. SEC case. For example, it exploded 70% last summer when the company won its first partial court victory. The price soared by double digits once again after the latest court ruling in August.

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