Ripple Labs announces the withdrawal of its cross-appeal against the SEC, potentially marking the end of a long legal dispute. This decision comes after a federal judge rejected a proposed settlement. While XRP soars following this announcement, the industry waits to see if the case can truly be resolved.
The appeal’s dismissal, a turning point
- A joint decision: Brad Garlinghouse, Ripple’s CEO, confirms that the company is withdrawing from the cross-appeal, pending a similar move from the SEC. This strategy aims to turn the page on the litigation.
- A judicial setback: A judge refused to validate the proposed settlement amendment, including the reduction of the fine. In response, Ripple chose to no longer pursue the appeal.
The impact on XRP and Ripple
- Price rebound: After the announcement, the price of XRP climbed approximately 3 to 4%, highlighting renewed investor confidence.
- Back to business as usual: Ripple can finally focus on its operations: developing payment technologies and positioning itself in international markets.
Opportunities and Threats
Opportunities:
- Opening for XRP ETFs: The end of the legal dispute could favor the approval of XRP-based index funds.
- Regulatory Stability: A possible settlement between the SEC and Ripple would reassure the market about XRP’s legal status.
Threats:
- Dependence on the SEC: If the SEC does not withdraw its appeal, the case could resurface in the coming months.
- Impact on XRP: In the event of a legal twist, the token’s price could be weakened.
Conclusion
Ripple is taking a major step toward resolving its dispute with the SEC. The outcome of this case could redefine the future of XRP and its institutional adoption. While the signals are encouraging, the outcome will now depend on the SEC’s reaction and the upcoming judicial attitude.
