**A landmark ruling by US federal judge Analisa Torres has mandated Ripple Labs to pay a $125 million penalty for unregistered sales of its XRP token.** While substantial, the fine represents a fraction of the SEC’s initial $2 billion demand, marking a pivotal moment for Ripple and the broader crypto regulatory landscape.
Key Takeaways from the Ripple vs. SEC Case
- Penalty Reduction: The $125 million fine is 94% lower than the SEC’s original claim.
- No Fraud Alleged: Judge Torres clarified Ripple’s actions lacked fraud or misconduct.
- Regulatory Clarity: The ruling sets a precedent for crypto compliance under securities laws.
Ripple Leadership Responds to the Verdict
Brad Garlinghouse, Ripple’s CEO, hailed the decision as a victory for the industry:
"This validates our stance and allows Ripple to operate with clarity. The SEC’s aggressive stance against XRP holders is now resolved."
Stuart Alderoty, Ripple’s Chief Legal Officer, emphasized the absence of proven harm:
"The fine addresses historic sales to institutional parties. We accept this outcome as a step toward resolving regulatory uncertainty."
XRP Price Reacts Positively
Following the verdict, XRP’s price soared 27% from $0.50 to $0.63 within 90 minutes. At press time, XRP stabilizes at $0.617, reflecting renewed market confidence.
👉 Explore how XRP’s future could unfold post-ruling
Expert Insights on XRP’s Trajectory
Ryan Lee, Chief Analyst at Bitget Research, noted:
"While XRP may outperform BTC short-term, an SEC appeal could introduce volatility. August’s price range is projected between $0.50–$0.75, with low market cap risks."
FAQs: Ripple vs. SEC Lawsuit
Q: What was the SEC’s original demand vs. the final penalty?
A: The SEC sought nearly $2 billion; Ripple will pay $125 million.
Q: Does this ruling mean XRP is not a security?
A: The court fined Ripple for unregistered sales but did not classify XRP as a security outright.
Q: How might an SEC appeal impact XRP’s price?
A: An appeal could create uncertainty, potentially pressuring XRP’s value.
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