Ripple CEO Announces End of XRP Lawsuit as SEC Withdraws Appeal, Token Gains 10%

Context In December 2020 the U.S. Securities and Exchange Commission sued Ripple Labs, alleging that the company’s $1.3 billion XRP offering violated securities law. A federal judge issued a split decision in July 2023: institutional sales of XRP were deemed securities, while programmatic sales on public exchanges were not. The SEC announced an intention to appeal the non‑security finding.

Key Facts - In March 2025 the SEC formally withdrew its appeal, ending the legal battle. - Ripple CEO Brad Garlinghouse announced on Fox Business that the case is “over,” calling the ruling a pivotal moment for crypto regulation. - XRP (ticker: XRP) rose 10% on the news, reaching $2.55 per token. The price move outpaced Bitcoin (BTC), which was trading around $28,300 at the same time, and lifted XRP’s market capitalization to roughly $27 billion. - Ripple previously paid a $125 million penalty for the institutional‑sale violations confirmed by the judge.

What It Means The withdrawal removes a major regulatory cloud over programmatic XRP trading, potentially encouraging institutional investors who have waited for clearer legal status. Banks and other financial firms may now consider XRP for settlement or treasury functions with reduced compliance risk. However, the ruling still classifies large‑scale, private sales as securities, meaning Ripple must continue to honor the $125 million settlement and monitor future offerings.

The broader crypto market will watch how other digital assets respond to the precedent that distinguishes exchange‑based sales from private placements. Regulators may apply similar reasoning to tokens with comparable distribution models. Watch for SEC guidance on other cryptocurrencies and any follow‑up litigation that could reshape the sector’s regulatory landscape.