- The SEC has officially dropped its appeal against Ripple, marking a major legal victory for XRP and signaling potential reclassification as a commodity.
- XRP’s price surged following the news, reflecting growing investor confidence and regulatory momentum.
In a groundbreaking development for the cryptocurrency world, the U.S. Securities and Exchange Commission (SEC) has officially withdrawn its appeal against Ripple Labs, bringing a dramatic close to a legal standoff that began in December 2020. The lawsuit had accused Ripple of conducting an unregistered securities offering through XRP sales—but with the appeal dropped, Ripple emerges victorious.
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The SEC’s move comes on the heels of a pivotal August 2024 court decision, which ruled that XRP is not a security when traded on public exchanges. While Ripple was ordered to pay $125 million in penalties for institutional sales, the broader outcome was seen as a win for the crypto industry. Ripple CEO Brad Garlinghouse hailed the moment as a “resounding victory,” echoing widespread optimism across the crypto space.
This legal conclusion arrives amidst a notable shift in the SEC’s regulatory posture. Following President Donald Trump’s re-election and the appointment of new SEC leadership, the agency appears to be moving toward a more crypto-friendly stance. Recent lawsuits against Coinbase and Kraken have also been dropped, indicating a broader policy recalibration.
Adding to the buzz, a Reuters report suggests XRP may soon be reclassified as a commodity—a dramatic pivot in how digital assets could be governed in the U.S. Ripple’s Chief Legal Officer Stuart Alderoty celebrated the shift, stating that Ripple is “now in the driver’s seat” and will consider its own cross-appeal.
Markets have responded in kind. XRP surged over 10% to hit $2.47 following the news, with analysts citing renewed investor confidence and growing institutional interest. Despite a slight dip to $2.08 in the last 24 hours, XRP remains up more than 16% over the past week and over 200% in recent months.
With legal clouds lifting and regulatory winds shifting, XRP appears poised to redefine its role—not just as a leading digital asset, but as a catalyst for crypto’s next era.
