📌 $XRP Lawsuit Update: Institutional Sales Unaffected by Injunction
A recent clarification from a legal expert has provided important context on XRP’s ongoing legal proceedings: the existing injunction addresses only past institutional sales, specifically those executed before 2018. It does not impact future institutional transactions or XRP’s secondary market activities .
🔍 Key Insights
Scope of Injunction: The restriction applies to historical sales that violated securities laws, leaving new institutional deals and exchange trading untouched .
Legal Standpoint: Per lawyer Fred Rispoli, the injunction is only active if enforced by the SEC. Given current clarity from the court, ongoing institutional activities and secondary market operations can continue unimpeded .
Ripple & SEC Settlement Path: Ripple’s legal team is exploring a settlement that reclassifies past violations as “historic institutional sales,” allowing the community and regulators to move forward without reopening the injunction .
✅ What It Means for XRP
Institutional Activity: Companies can resume or initiate new XRP purchases (or structured sales) without breaching current legal constraints, provided they stay compliant.
ETF Implications: Ongoing legal restrictions likely won’t delay an XRP ETF, as the injunction doesn’t limit spot trading — a crucial factor for regulators.
Market Clarity: This development adds to a series of recent legal milestones (including dropping appeals) that continue to resolve uncertainty and sharpen the XRP investment thesis.
Bottom Line:
While the injunction remains in force, it applies only to past actions. Institutional flows and secondary trading remain legally permissible, which could clear the way for XRP to garner renewed interest — including momentum toward an ETF decision.
