On 7 August 2025, Ripple Labs and the SEC jointly withdrew their appeal and cross-appeal before the US Court of Appeals, officially bringing an end to the legal battle over XRP that lasted more than four years. The crypto market reacted with a strong rally: the price of XRP surged by 12% to 13% within 24 hours, clearly reflecting investor relief and renewed optimism.

What Exactly Happened Between Ripple and the SEC?

In December 2020, the SEC sued Ripple Labs and two senior executives for the alleged sale of XRP as an unregistered security, a violation of US securities law. In 2023, Judge Analisa Torres ruled that public sales of XRP through exchanges did not fall under the definition of a security, but institutional sales did violate the law. She imposed a $125 million fine and issued a permanent injunction. Both parties appealed, but a jointly requested settlement — which would have reduced the fine to $50 million and removed the injunction — was rejected by the court.

Ultimately, Ripple and the SEC decided to fully withdraw their appeals, each covering their own legal costs. With that, the legal chapter has officially closed.

What Does This Mean for XRP's Future?

There is finally a conclusion: the 2023 ruling remains binding. XRP is no longer considered a security and may now be publicly sold to ordinary retail investors as well as to professional parties such as institutions and corporations. Institutional sales remain regulated, and any such sale must now comply with securities legislation. No further legal action will be taken against Ripple. For the crypto sector, this brings long-awaited legal clarity. Ripple‘s Chief Legal Officer Stuart Alderoty stated: “The end… and now back to business”, indicating the company is moving past the legal era and back to business operations.

Investor expectations for XRP‘s price are also running high. Institutional adoption is likely to accelerate, and approval for a spot-XRP ETF appears to be getting closer. This opens new opportunities for investors, which could give the price an additional boost. Many US crypto exchanges previously delisted XRP out of fear of legal consequences. After the judge‘s 2023 ruling, XRP returned to some of those platforms.

XRP Price After the Decision

Following the news that both parties had dropped their appeals, XRP surged: the price jumped by 12–13%, climbing above the $3.30 zone. Technical analysis suggests that if resistance around $3.33 is broken, further gains toward $3.50–$4 could be within reach. With legal uncertainty now removed, investor confidence in the token is likely to grow — and that will undoubtedly be reflected in XRP‘s price performance.

Disclaimer: This is not financial advice. Always do your own research and consider seeking professional guidance.