XRP News: Latest Developments in SEC Legal Dispute

In the past month, there have been new developments in the long-standing legal dispute between Ripple (XRP) and the U.S. Securities and Exchange Commission (SEC). Previously, the Southern District Court of New York had ruled in 2023 XRP Institutional sales violate securities laws, public market sales do not violate, and Ripple is fined $125 million and subject to a sales ban. Recently, U.S. regulators withdrew some of the appeals in the case, leading the market to speculate that the case may be coming to a close. Here is an overview of key developments in recent weeks:

• Mid to late March: According to market reports, the SEC quietly withdrew part of its appeal against XRP, leading to a halt in the planned appeal. Ripple’s Chief Legal Officer previously stated that this move indicates that the case is nearing its end, and XRP’s position of winning in the preliminary ruling remains unchanged.
• End of April: Ripple and the SEC further push forward settlement negotiations. According to court documents, the two parties have reached a preliminary agreement on settlement terms: the SEC will reduce the fine from $125 million to $50 million, while lifting the sales ban on XRP (allowing Ripple to sell XRP to institutional investors). As a result, both parties have applied to suspend the appellate process and await the court’s indicative ruling on the proposed settlement agreement.
• On May 15th, Judge Analisa Torres in the Southern District of New York rejected the joint motion filed by Ripple and the SEC. The court found that the motion was filed under the wrong procedural rule (should have been filed under Rule 60 but was filed as Rule 62), which was considered procedurally improper and did not involve a substantive review of the settlement. The judge pointed out in the judgment that the parties failed to meet the strict requirements for lifting the injunction and significantly reducing penalties, so the motion was rejected.
• Subsequent developments: Ripple’s chief legal officer stated that this dismissal is only a procedural issue and does not affect the previous court’s ruling that XRP is not a security. The company stated that it will supplement the application with the SEC according to the correct procedure and continue to advance the settlement process. Industry observers believe that both parties are likely to resubmit the application and request the higher court to remand the case to the trial judge. Once the settlement is finally approved, theoretically, it will require the termination of the appeal and formally end this legal battle that has lasted for several years.

Market Outlook and Price Forecast

Recent legal developments have boosted the confidence of some investors and also XRP price The situation has added variables. XRP’s price is currently hovering around just over $2 per coin, slightly down from its previous six-month high. Market analysis believes that if the SEC’s settlement with Ripple is ultimately approved and the sales ban is lifted, this would remove the biggest uncertainty and be favorable for XRP’s market performance. Specifically, several analysts predict:

• Bullish prediction: Some views suggest that after the lawsuit dust settles, XRP may return to a bull market. If a settlement is reached and sales restrictions are lifted, XRP could potentially surge to the $3 to $5 range by the end of the year, or even higher. Some technical analysts believe that XRP has formed a bottom support, and as long as it breaks through key resistance levels, it may challenge historical highs.
• Cautious view: Some analysts also believe that the current market sentiment still needs to be cautious. If the litigation continues to be delayed or unexpected events occur, XRP may remain volatile in the short term. Investors should pay attention to factors such as subsequent court motions and regulatory meetings, as the legal direction will directly impact the funding situation and market confidence.
• Key factors: Overall, the future market will depend on the progress of SEC settlement and the overall market trend. If the overall market sentiment is optimistic, coupled with the warming of the cryptocurrency market, it is expected to bring additional momentum to XRP; otherwise, a change in regulatory direction may exert pressure on the price.

In conclusion, the dispute between XRP and the SEC is entering the final stage in the short term, but procedural details are still being resolved. For investors, it is crucial to continue paying attention to the follow-up developments of Ripple and the SEC, as well as the regulatory trends. Once a settlement is reached, the unlocking of funds and the resumption of trading activities could potentially act as a catalyst for XRP price increases. Currently, there is a wide divergence of market opinions, but overall, most industry professionals maintain a cautiously optimistic outlook on the future trend of XRP.