XRP and the Regulatory Frontier: What Ripple's Legal Battles Mean for Crypto's Future

Ripple's win reshapes crypto regulation and strengthens XRP's position in the crypto market

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The recent settlement of XRP vs Securities and Exchange Commission (SEC), US is a turning point for the crypto sector. The company was charged with running an illegal US$1.3 billion securities offering as XRP sales. The SEC has finally dismissed its appeal against Ripple, ending a four-year court battle. This ruling is a win for Ripple and a landmark ruling on crypto regulation. It set a standard on how future digital assets could be defined.

Let's explore the timeline of XRP vs SEC first as well as what it means for crypto's future and the impact on XRP.

The SEC Case: Key Developments

The Initial Lawsuit

In December 2020, the SEC sued Ripple, stating that XRP was a security and that Ripple had not registered its sales under US securities laws. Ripple fought back claiming that XRP was a digital currency, like Bitcoin and Ethereum. So, it should not be regulated by securities laws.

Court Rulings and Their Impact

The case took a new direction in July 2023 when US District Judge Analisa Torres found that although XRP sales to institutional investors had broken securities law, sales on public exchanges did not. The partial win was important in dividing institutional transactions from retail ones and clarifying regulations.

SEC Abandons its Appeal

On March 19, 2025, Ripple reported that the SEC had officially withdrawn its appeal, effectively closing the case. Ripple CEO Brad Garlinghouse called this a 'resounding victory’ not only for Ripple but for the whole crypto industry.