Ripple vs SEC or XRP Holders? The Legal Showdown Nobody Predicted

The courtroom drama twisting crypto's fate—Ripple's battle lines just got blurred.

Who's really under fire: the SEC or XRP investors?

Subheader: Regulatory Roulette

The SEC's lawsuit was supposed to be a slam dunk. Instead, it's morphed into a PR nightmare—with retail holders caught in the crossfire. Legal experts whisper 'precedent,' while traders dump bags (classic).

Subheader: Holders Fight Back

Class-action murmurs grow louder as XRP's price swings like a pendulum. 'Decentralized' until the lawyers show up, huh?

Subheader: The Irony Play

Wall Street's watching. If regulators accidentally torch retail to punish Ripple, even Bitcoin maxis might shed a tear. Bonus jab: Nothing unites crypto like a common enemy—except maybe a 10x leveraged short.

The Ripple vs SEC lawsuit has taken center stage once again, this time not in court, but on X (formerly Twitter). Although Ripple CEO Brad Garlinghouse recently announced that the case is “behind them,” the legal battle is still not over on paper. 

What’s stirring even more chatter is a new round of political allegations around Ripple’s involvement in the 2024 U.S. presidential election. A user on Twitter recently claimed that Ripple and its top executives largely supported Vice President Kamala Harris during the election, while avoiding support for Donald Trump.

The donations have led to division within the XRP community. Many users are now questioning Ripple’s political stance, especially since a significant portion of the XRP fanbase is believed to support Trump. 

Ripple was sued under the Trump/Clayton administration, long before Gensler was appointed. Basic facts, sorry.

Some online posts hinted that the XRP community may have been unaware of the scale of these political donations and claimed that XRP holders should consider exiting around the $3.50 mark if Bitcoin rises beyond $125,000. 

Amid all the political back-and-forth, former SEC lawyer Marc Fagel stepped in to correct the record about the origins of the Ripple lawsuit. He reminded users that the SEC’s case against Ripple was filed under the TRUMP administration, led by former SEC Chair Jay Clayton, not Gary Gensler.

“Basic facts, sorry,” Fagel posted on Twitter. “This case was investigated and filed before Gensler was even appointed. Unless he had a time machine, Gensler didn’t initiate this.”

When asked why Clayton chose to sue Ripple on his last day in office, Fagel explained that the decision had actually been made weeks earlier. Clayton likely voted before leaving to prevent delays that could have stalled the case for months while a new SEC chairman was confirmed. Gensler didn’t take over the role until nearly five months later.