SEC vs. Ripple: Lawsuit May Reach a Swift Resolution Due to Mutual Impatience

The legal battle between the U.S. Securities and Exchange Commission (SEC) and Ripple Labs seems to be approaching a potential resolution, according to recent developments from both sides.

The SEC sued Ripple Labs, along with executives Brad Garlinghouse and Chris Larsen, in December 2020. The lawsuit alleges that Ripple raised over $1.3 billion by selling XRP as an unregistered security.

Over the past two years, the parties have explored various avenues without reaching a clear conclusion on whether Ripple violated securities laws by selling XRP. At one point, they even agreed to extend the case into 2023, frustrating the XRP investor community.

However, recent signals suggest that both the SEC and Ripple Labs are growing increasingly impatient. Both parties are now seeking a federal judge to make a final ruling on whether Ripple's association with XRP constitutes a securities law violation or to dismiss the case without a protracted trial.

Specifically, over the past weekend, both the SEC and Ripple filed motions for summary judgment in the Southern District of New York, requesting Judge Analisa Torres to make a decision based on the submitted arguments and documents, bypassing the need for a trial. All related documents have been filed in the federal court database.

In summary, the final outcome of the lawsuit between Ripple and the SEC will be determined by Judge Analisa Torres without further delays for document review. This has generated significant excitement in the XRP community, which has been waiting in "hopeless" anticipation for two years.

Following the announcement, XRP experienced a notable and rare increase, climbing from $0.34 to $0.3981 before facing a significant correction from Bitcoin, and is currently trading around $0.3446.

4H Chart of XRP/USDT. Source: Binance