Cryptocurrency researcher SMQKE recently shared an excerpt from the official document published by SBI Holdings, a major financial services company in Japan, mentioning the legal dispute between the U.S. Securities and Exchange Commission (SEC) and Ripple Labs.
This document, which is said to be part of the '2025 Information Meeting' presentation by SBI Holdings on June 2, 2025, provides a detailed timeline of the legal proceedings that have affected the market valuation of XRP over the years.
According to the disclosed documents, the SEC filed a lawsuit against Ripple in December 2020, alleging that Ripple conducted unregistered securities offerings by selling XRP tokens to investors. This regulatory action coincided with a significant drop in the price of XRP, recorded at $0.26 (27 JPY) at the time the lawsuit was filed.
This document also outlines key milestones in the litigation process. On July 13, 2023, a federal court ruled that XRP does not constitute an investment contract and therefore is not a security, except in cases involving direct sales to institutional investors.
This legal interpretation marks a partial victory for Ripple, clarifying that most transactions involving XRP will not be classified as sales of securities under U.S. law.
Developments in reducing penalties and settlements
SBI Holdings' presentation also highlighted subsequent negotiations between the SEC and Ripple regarding financial penalties. Initially, the SEC proposed a penalty estimated at around $125 million.
However, according to the presentation, on May 8, 2025, Ripple and the SEC reached a settlement agreement and jointly filed with the federal court to seek approval for the amended settlement terms. The final penalty was reduced to $50 million.
This agreement is described in the documents as a significant step toward removing substantial barriers to Ripple's potential initial public offering (IPO). SBI Holdings particularly noted that the prolonged legal uncertainty has become a barrier by 'suppressing the price of XRP for a long time.'
Recorded price activity and market reactions
Images shared by SMQKE include price charts showing XRP's volatility from April 2020 to May 2025. After the initial lawsuit in December 2021, XRP experienced a prolonged period of price volatility and maintained a low valuation. Following the ruling in July 2023 that XRP is not a security for most retail transactions, the price of XRP rose to approximately $0.81 (112 yen).
Subsequently, when the settlement agreement in May 2025 was announced, the price increased further. On May 8, 2025, XRP was trading at $2.31 (337 Japanese yen), reflecting the growing confidence among market participants that the legal issues were about to be resolved. The chart also recorded a similar valuation of $2.31 (329 Japanese yen) on May 26, 2025.
Community comments and source verification
Another X user, Digital Asset Dude, commented on SMQKE's post to confirm the authenticity of the document. According to Digital Asset Dude, the presentation can be accessed through SBI Holdings' investor relations website and appears on page 126 in the Ripple investment section. The timeline and price charts shown in the images match exactly with the official documents.
Some market observers have used this confirmation to bolster the credibility of the claims made, particularly asserting that the SEC's dispute has affected the valuation of XRP and slowed Ripple's IPO ambitions.