SEC vs Ripple: How Lawsuit Over XRP Could End in Days If Conditions Are Met

The dispute between Ripple and the US Securities and Exchange Commission (SEC) over XRP could be resolved in a few days according to legal expert Jeremy Hogan.

His insights come after reports that the case is nearing its end. While a quick resolution is good news, Hogan notes the court’s injunction against Ripple is a major hurdle.

Hogan thinks the quickest resolution might be a private settlement. But the SEC would have to lift or bypass the court’s injunction and allow Ripple to continue to operate without legal consequence. Although Hogan thinks the SEC won’t agree to remove the injunction entirely, he suggests a compromise could be Ripple being allowed to register XRP sales to institutional investors. That would allow both sides to move forward without violating the court’s order possibly paving the way for a resolution.

SEC Settlement Terms: The $125 Million Dilemma

Another expert, James Murphy, has put forward his thoughts on the situation. He thinks the delay is due to Ripple negotiating better settlement terms. The SEC is reportedly willing to accept a $125 million fine as part of the settlement but Ripple’s lawyers are pushing for more.

That includes vacating certain parts of Judge Analisa Torres’ ruling which could have long term implications for the company.

Murphy’s comments align with recent reports including Fox Business journalist Eleanor Terrett who said Ripple is hesitant to settle on terms that would require an admission of wrongdoing.

The reluctance to admit wrongdoing highlights the sensitivity of the talks and the impact of the final decision on Ripple’s reputation and the broader crypto industry.

A Precedent-Setting Legal Decision

The outcome of this long running case will set a big precedent for the crypto industry especially with regards to SEC enforcement actions. A resolution will clarify how the SEC approaches digital assets and give other crypto companies clearer guidance.

With both Ripple and the SEC working towards a settlement the case could be wrapping up soon but it all depends on the final terms.

  • Key Points:

    • Jeremy Hogan predicts a settlement is likely

    • SEC’s injunction remains a major sticking point

    • Ripple negotiating for better terms, including vacating parts of the court’s ruling

    • $125 million penalty could be part of the final settlement

As the situation unfolds, Ripple’s legal battle with the SEC could ultimately shape the regulatory landscape for cryptocurrencies, setting the stage for future cases and policies in the sector.

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ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
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