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Ripple Slams SEC in Landmark Court Victory—$75 Million Recovered as Crypto Industry Cheers

Ripple Slams SEC in Landmark Court Victory—$75 Million Recovered as Crypto Industry Cheers

Published:
2025-05-09 00:09:15
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Ripple wins SEC lawsuit and recovers $75M after legal battle ends

After years of legal wrangling, Ripple Labs emerges victorious against the SEC—scoring a $75 million recovery and handing regulators their most embarrassing crypto lawsuit loss yet.

The ruling sends shockwaves through fintech: XRP holders celebrate while Wall Street lawyers scramble to rewrite their anti-crypto playbooks. Judge’s verdict explicitly rejects SEC’s ‘regulation by enforcement’ approach—a brutal blow to the agency’s credibility.

Funny how the ‘protectors of investors’ just wasted $200M in taxpayer money chasing a case that ultimately lined Ripple’s pockets. The irony’s thicker than a Bitcoin maximalist’s skull.

Ripple emerges stronger as legal cloud lifts and growth accelerates

The case began in December 2020, when the SEC, under then-Chair Gary Gensler, accused Ripple of conducting unregistered securities offerings through its XRP token sales.

Despite the legal battles, Ripple does seem to be in a relatively financially stable position and is poised for growth. The settlement arrives when Ripple benefits from a regulatory shift under President Trump’s administration.

Just last month, Ripple made a significant MOVE by acquiring the prime brokerage firm Hidden Road for $1.2 billion and was reportedly in talks with Circle, the issuer of USDC, about a potential $5 billion acquisition, although that offer was declined.

Now that the lawsuit is behind them and the majority of the penalty is being returned, Ripple is expected to ramp up its acquisition strategy both in the US and internationally.

The case has reinforced the stance that XRP is a commodity, not a security, potentially paving the way for an XRP ETF approval. 

Bloomberg senior ETF analysts said that the five spot XRP ETFs, including Grayscale, 21Shares, WisdomTree, Bitwise, Canary, and Franklin Templeton, have an 85% chance of approval after the change in leadership at the US Securities and Exchange Commission (SEC).

This is a significant improvement from their prediction over two months ago that set the chances of an XRP approval in 2025 at 65%.

Similarly, the betting odds for an XRP ETF approval by Dec. 31 now stand at 77% on Polymarket.

Ripple’s ties to US regulators also seem to be strengthening. While rumors swirled today about President TRUMP being misled into endorsing XRP as part of a national crypto reserve, Ripple’s lobbying efforts with the administration are well-documented. The company’s proactive engagement with policymakers is now bearing fruit.

XRP soars as investors bet on final SEC settlement approval

XRP, the native cryptocurrency of Ripple, jumped more than 10% in early Thursday trading following the news that Ripple and the U.S. SEC filed a joint request for an indicative ruling to finalize their long-standing legal settlement.

At the time of writing, XRP is trading around $2.28, up 7% just 24 hours earlier. While the price has slightly corrected since the announcement, the rally was strong enough to break $2.3 today.

Analysts now eye resistance at the $2.5 level, with some suggesting a breakout to $3 is possible. And if settlement approval comes swiftly and macro conditions remain stable the price predictions wild enough to $7 and $20.

The final ruling is still pending; the market is clearly betting on a favorable outcome. Should the court approve the joint request, XRP could be primed for a massive rally.

XRP’s price surge reflects strong market optimism, as traders and longtime holders view the settlement as the closing chapter of a regulatory battle that has weighed on the token since 2020.

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