XRP Lawsuit Bombshell: Ripple and SEC Gear Up for High-Stakes Court Showdown

The crypto world braces for fireworks as Ripple and the SEC prepare to drop a pivotal motion in their years-long legal battle.

This isn''t just another court filing—it could reshape the regulatory landscape for digital assets. Both sides are sharpening their knives ahead of what may become a landmark decision.

Meanwhile, Wall Street bankers are probably placing side bets on the outcome—because when has finance ever missed a chance to profit from uncertainty?

TLDR

• Ripple and the SEC plan to file a new motion under Rule 60 in the XRP lawsuit.
• The motion seeks to lift the injunction on XRP sales and reduce Ripple’s penalty to $50 million.
• Judge Analisa Torres previously denied a similar request filed under Rule 62.1.
• The new motion is expected to be submitted by Friday or Monday before the June 16 deadline.
• If filed, the motion could delay the appeals process and allow more time for a settlement.

Ripple and the U.S. Securities and Exchange Commission (SEC) are preparing a motion under Rule 60 in the XRP lawsuit. The parties aim to dissolve the injunction and reduce Ripple’s civil penalty to $50 million. This legal MOVE follows Judge Analisa Torres’s suggestion to file under Rule 60, requiring exceptional circumstances for approval.

The motion is expected either by Friday or Monday, just ahead of the June 16 deadline for the 2nd Circuit status report. If filed, it could justify an extension for another 60 days from the appellate court. The SEC and Ripple are currently facing delays in reaching a final settlement.

Should the parties attempt another filing for a positive outcome in an indicative ruling- then it WOULD make sense for Ripple to aim towards dropping their cross-appeal. This will take several filings to make happen. Should Torres once more decide to reject the change…

— Sherrie 🌸 (@CherryEmpress21) June 9, 2025

Lawyers claim there is no positive progress to report yet, making the indicative ruling request critical for both parties. Without action, the appeals process will continue, further extending the lawsuit timeline. Legal analysts expect this motion to signal serious intent from both sides to resolve key injunction matters.

XRP sales block Ripple IPO efforts

Ripple’s path toward a public offering remains blocked due to the current injunction restricting certain XRP sales. Legal experts confirm that without the injunction lift, Ripple cannot proceed with IPO plans for the next four years. This delay impacts Ripple while other crypto firms, including Circle and Kraken, are progressing under the current administration.

Ripple believes that lifting the injunction will align with its compliance improvements and support fair market participation. The company seeks to argue that its ongoing conduct no longer violates securities laws under current legal interpretations. A reduced penalty and lifted ban would allow Ripple to refocus on expansion and regulatory engagement.

While previously rejecting similar requests under Rule 62.1, the SEC might now accommodate the filing under Rule 60. Judge Torres made it clear that Rule 60 demands proof of exceptional changes in the circumstances. Therefore, both parties must justify why the court should reconsider its earlier decision.

XRP motion could reshape legal timeline

Legal sources report that Ripple and the SEC are working together to file this joint request before the appellate process continues. The motion, if approved, would alter the status of the injunction and modify the penalties imposed. The request would also delay the appeals timeline, giving both parties more room for negotiation.

Legal analyst Fred Rispoli noted that this filing is essential to update the court before the June 16 report deadline. Former SEC attorney James Farrell explained that Ripple’s IPO efforts depend on the removal of the injunction. Any delay in the motion filing could result in prolonged legal uncertainty for Ripple’s operations.