The US Securities and Exchange Commission and Ripple are applying for the release of 125 million dollars from the escrow account as the case ends

Finally, the lawsuit against Ripple, filed by the US Securities and Exchange Commission in December 2020, is over.Ripple and the US Securities and Exchange Commission (SEC) filed a joint request on Thursday to release 125 million dollars of funds held in the escrow account to pay for the court-ordered settlement.

According to the letter submitted by the parties, USD 50 million will be transferred to the US Securities and Exchange Commission (SEC) to cover the civil fine imposed on Ripple, with the remaining amount (USD 75 million) to be returned to ripple, pending court approval. The lawyers submitting the complaint wrote:

"The decision proposed by the parties will preserve the resources of the Second Circuit by avoiding the need to adjudicate appeals, avoiding any referral for further proceedings in this court, and ending 4.5 years of tedious litigation."

The lawsuit filed by the US Securities and Exchange Commission against Ripple constitutes a landmark case in the field of cryptocurrency regulation in the United States, and officially ending the lawsuit will be a symbolic victory for an industry that has already largely won its battle for legal legitimacy in the United States.

The US Securities and Exchange Commission (SEC) and Ripple are ending their case after the 2024 ruling

In July 2023, judge Annalisa Torres ruled that secondary sales of the XRP token ( XRP ) are not securities, giving Ripple and the cryptocurrency industry a partial but significant victory.

However, the judge also ruled that the sale of XRP to investors during the financing rounds constitutes sales of securities due to how tokens are presented as compensation for investing in a commercial enterprise.

The US Securities and Exchange Commission ordered Ripple to pay a fine of 125 million US dollars, according to a subsequent ruling by Judge Torres in August 2024. #xrp