- Ripple will be paying a fine of $125 million, contrary to SEC’s wishes of $2 billion
- The company is prohibited from violating any securities law
The Ripple vs US Securities and Exchanges Commission (SEC) battle has finally come to an end with XRP taking the trophy home. Today, District Judge Analisa Torres has concluded that Ripple’s fine would be set at $125.035 million.
The fine was imposed for violating securities law on the institutional front. On top of finalizing on the penalty, the legal ruling states that Ripple is “permanently restrained and enjoined from violating Section 5 of the Securities Act”.
Notably, this fine is a far cry from SEC’s sought after price of $2 billion for the partial securities violation. And, this is not the first time the SEC has taken the ‘L’ on its legal battle with Ripple. Earlier, Judge Torres had rendered a partial win to Ripple Labs by deeming the programmatic sales of XRP to retail investors as not a violation of securities law.
In a post made by Defense Lawyer James K Filan on X, today ruling read,
“IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant is liable for a civil penalty in the amount of$125,035,150pursuant to Section 20(d) of the Securities Act [15 U.S.C.§77t(d)].Defendant shall satisfy this obligation by paying$125,035,150to the Securities and Exchange Commission within 30 days after entry of this Final Judgment.”
Read Ripple [XRP] Price Prediction 2024-2025
Joining in on the celebration, Ripple’s CEO Brad Garlinghouse said,
“The SEC asked for $2B, and the Court reduced their demand by ~94% recognizing that they had overplayed their hand. We respect the Court’s decision and have clarity to continue growing our company. This is a victory for Ripple, the industry and the rule of law. The SEC’s headwinds against the whole of the XRP community are gone.”
XRP gleams on the latest ruling
The new ruling has given the price of XRP as massive push. According to CoinMarketCap, XRP has skyrocketed by 22% in the past hour, with the coin trading at $0.6123 at press time. The past 24-hour chart registered a uptrend of over 19%. The market cap for the coin was at over $34 billion, while the trade volume stood at over $2 billion.
Notably, the coin has lost much since the SEC filed a lawsuit against the Ripple Labs by asserting that the token was a security. Since then, the coin faced a exodus from multiple crypto-exchanges based in and providing services in the United States.
Moreover, the coin had also witnessed its position fall from the top 3rd position to below the 5th position in terms of market cap. Now, the ending of the years long battle might revive the coin’s performance in the market.
