The crypto market has just seen the removal of one of the biggest regulatory hurdles.
Ripple announced that the SEC lawsuit against the company has ended.
Ripple Labs' cryptocurrency XRP surged over 13% on the news.
It is another sign of the shifting regulatory tide for cryptocurrencies under the Trump administration.
The U.S. Securities and Exchange Commission is dropping its case against Ripple, a blockchain company that fell under regulatory scrutiny due to its issuance of the cryptocurrency XRP.
The case, brought by the Securities and Exchange Commission during President Joe Biden's administration, claimed that XRP was an unregistered security. Industry players said that a victory for the regulator would fundamentally reshape the crypto space by defining most tokens as securities subject to the SEC and forcing them to comply with a full set of securities laws.
Ripple CEO Brad Garlinghouse announced the news in a video posted Wednesday morning on X, stating that the update represents the end of a chapter in the recent history of the crypto market.
Just over four years ago, the U.S. Securities and Exchange Commission filed a lawsuit against Ripple. It has finally been able to announce that this case has ended - it is over.
A spokesperson for the SEC declined to comment.
The XRP token rose by as much as 13.73% in the report, reaching a price of $2.54.
Under former President Gary Gensler, the case against Ripple was part of a larger regulatory effort to clamp down on the crypto industry through enforcement actions. Cases were also opened against exchanges like Coinbase, Kraken, and Binance.
