U.S regulator ends lawsuit against crypto company Ripple, company to pay $125 million fine

The US Securities and Exchange Commission stated that it abolished its case, alleging selling unregistered securities on Ripple Labs, retaining a fine of $ 125 million and ending one of the highest-profile cases of the Cryptocurrency industry.

Ripple and SEC on Thursday agreed to dismiss their appeal for the fine imposed by US District Judge Analyssa Torres in Manhattan and to dismiss her prohibition against the sale of XRP tokens to institutional investors.

According to the market service coinmarketcap, XRP is the third largest cryptocurrency from the market price, overtaking bitcoin and ether.

The SEC sued Ripple in December 2020 near the end of US President Donald Trump’s first White House tenure, alleging that it was without registering XRP tokens as securities.

In a mixed judgment in July 2023, Torres stated that XRP was covered by securities laws when sold to institutional investors, while XRP’s Ripple sold on public exchange. He fined in August 2024.

After Trump’s renovation, a more crypto-friendly compress began to withdraw from some enforcement cases, and Torres with Ripple asked to lift the prohibition and reduce the fine by $ 50 million.

He refused, saying that neither any side came close to showing “extraordinary circumstances”, which carried forward the public interest in implementing the prohibition and fined $ 125 million.

The SEC said that the dismissal of the appeal means that prohibitory orders and fine remain effective.

Stuart Eldroti, Chief Legal Officer of Ripple, referred to SEC works in a post on X and stated that the “end” of the dismissal case has been marked.

Since Trump resumed the White House, SEC has also abolished the civil cases against Crypto Exchange, Coinbase and Crackon.

The case is SEC V Ripple Labs Inc, US District Court, Southern District of New York, number 20-10832.