Victory for Ripple as SEC Drops Lawsuit, XRP Spikes 8%!

Amidst the SEC’s cryptocurrency crackdown, Ripple’s recent legal victory reshapes the regulatory landscape and sends ripples through the market.

Brad Garlinghouse celebrating a win.
Created by Kornelija Poderskytė from DailyCoin
  • Ripple has celebrated the dismissal of all charges, branding it as the SEC’s capitulation.
  • High-profile figures have celebrated the dismissal of SEC charges.
  • In an official statement, the SEC has stirred suspense regarding potential remedies.

The SEC’s aggressive foray into the world of cryptocurrencies has seen them clash with industry players, but recent events suggest that their strategy might unravel. As a growing number of their legal battles take unexpected turns, the SEC finds itself on the defensive, facing a series of challenges that have implications for the regulatory landscape.

Among these unfolding stories is the stunning reversal of fortune in the ongoing lawsuit involving Ripple Labs, Brad Garlinghouse, and Chris Larsen. Stuart Alderoty couldn’t conceal his elation as he hailed the dismissal of all charges against its top brass in the SEC’s ongoing lawsuit.

Ripple Executives Cleared as SEC Surrenders!

Alderoty expressed his satisfaction with the outcome by sharing his sentiments on X, emphasizing, “The SEC made a serious mistake going after Brad & Chris personally – and now, they’ve capitulated, dismissing all charges against our executives…This is not a settlement. This is a surrender by the SEC.”

The SEC’s decision revolved around the lawsuit against Ripple CEO Brad Garlinghouse and co-founder Chris Larsen. The core issue at hand was their alleged involvement in illicit securities sales. This development sent ripples through the market, with XRP surging by 8%, reaching $0.518, as presented by CoinMarketCap

SEC and Ripple Set to Resolve XRP Sales Dispute

In an official filing on Thursday, the SEC announced: 

"The SEC and Ripple intend to meet and confer on a potential briefing schedule with respect to the pending issue in the case — what remedies are proper against Ripple for its Section 5 violations with respect to its Institutional Sales of XRP — and respectfully request until November 9, 2023 to propose such schedule to the Court or, if the parties cannot agree, to seek a briefing schedule from the Court on a contested basis,"

The SEC has declined to make any further comments on the matter.

On the Flipside

  • While XRP saw a temporary surge in value, this could be short-lived, given the cryptocurrency market’s volatility.
  • This lawsuit’s dismissal doesn’t erase the fact that it brought significant scrutiny to Ripple and the broader cryptocurrency industry.

Why This Matters

The SEC’s recent decision to drop charges against Ripple’s top executives underscores the evolving landscape of cryptocurrency regulations. It signifies a potential shift in regulatory approach and sets a precedent for the industry, shedding light on the complexities and uncertainties surrounding cryptocurrencies’ legal framework.

To learn more about the SEC’s classification question prompted by Ripple’s CTO, click here:
Ripple CTO Provokes SEC with Ethereum Classification Question

To stay updated on the potential public offering plans of Ripple, check this out:
Is Ripple Going Public? New Job Posting Suggests So

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Kyle Calvert

Kyle Calvert is a cryptocurrency news reporter for DailyCoin, specializing in Ripple, stablecoins, as well as price and market analysis news. Before his current role, Kyle worked as a student researcher in the cryptocurrency industry, gaining an understanding of how digital currencies work, their potential uses, and their impact on the economy and society. He completed his Masters and Honors degrees in Blockchain Technology within Esports and Business and Event management within Esports at Staffordshire University.