Ripple reached an agreement with the U.S. Securities and Exchange Commission (SEC), agreeing to pay $50 million from an initially proposed fine of $125 million. The remaining $75 million will be returned to the company.
Both parties will waive their appeals if the court lifts the long-standing injunction against Ripple.
The dispute between Ripple and the U.S. Securities and Exchange Commission has officially concluded.
This marks the official conclusion of one of the longest legal disputes in the crypto industry. The case, filed during Gary Gensler's tenure at the SEC, was closely monitored within the digital asset industry.
Ripple, which maintained financial stability during the legal proceedings, appears well-positioned to accelerate its growth.
The decision comes at a time when the company is benefiting from a regulatory environment that has changed during President Trump's administration. Last month, Ripple acquired the leading brokerage firm Hidden Road for a record $1.2 billion. The company has also been in talks with Circle, the issuer of USDC, regarding a possible $5 billion acquisition.
Reports indicate that this proposal was rejected. With the closure of the lawsuit and the return of a significant portion of the fine, Ripple will likely strengthen its acquisition strategy both in the U.S. and abroad.
The legal resolution may also affect the regulatory status of XRP. The case helped solidify the opinion that XRP functions as a commodity rather than a security. This clarification may pave the way for the approval of an ETF based on XRP.
Prediction markets currently estimate the probability of approval for an XRP-based ETF by the end of July at 39%, though this may change after the settlement.
The price of XRP rose nearly 10% today, although analysts believe that most of the news has already been priced in, as the terms of the settlement had been publicly anticipated for several weeks. Ripple's relationships with U.S. regulators also appear to be improving. Despite earlier speculation today that President Trump was misled to support XRP as part of a national crypto reserve, Ripple's ties to the administration are well documented.
The company has actively engaged with politicians and is now seeing the benefits of this strategy.#BinanceSquare #Write2Earn #Binance #Ripple #xrp $XRP