In the latest development of the prolonged legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC), both sides have jointly petitioned the Second Circuit Court of Appeals to continue to stay the appeal process while awaiting a ruling from the lower court.
According to the filing submitted on June 16, 2025, the SEC has sent an updated report, requesting to maintain the stay until at least August 15, 2025 — the time when both parties will submit the latest information. This move comes amid ongoing negotiations between the SEC and Ripple for a settlement agreement, which could change the landscape of the years-long lawsuit.
Previously, the two sides reached a principle agreement, in which Ripple would only have to pay a fine of 50 million USD instead of 125 million USD as per the original ruling, and the remaining amount would be refunded. At the same time, the SEC would also lift the ban on Ripple's operations. However, the lower court refused to approve this proposal in May, citing a lack of grounds for modification in a 'special case.'
On June 12, Ripple and the SEC refiled a joint motion, adding legal arguments and requesting the court to issue a guidance ruling. While awaiting the decision, both parties agreed that maintaining the status of the appeal stay is necessary. If approved, they will request the appellate court to return the limited record to complete the settlement process.
