XRP Lawsuit: SEC’s $125M Ripple Penalty Sparks Final Appeals Push

Lawyers have confirmed that the U.S. Securities and Exchange Commission (SEC), led by outgoing Chairman Gary Gensler, is set to file its appeals opening brief in the Ripple lawsuit.

The SEC, which previously accused Ripple of selling unregistered securities, faces a January 15 deadline, with insiders expecting a last-minute submission.

Pro-XRP attorney Jeremy Hogan urged the community to remain optimistic despite the SEC’s timely filing. “Don’t be surprised when the brief is filed and don’t be dismayed,” Hogan noted, emphasizing that the legal strategy under Gensler and litigation counsel Jorge Tenreiro has shown little indication of change.

Hogan speculated that a resolution under the incoming SEC Chair, Paul Atkins, is possible. He highlighted that the appeals brief is a procedural step and may not substantially alter the case’s trajectory.

Ripple vs. SEC: Penalty and Court Deadlines

The Ripple lawsuit gained momentum when Judge Torres ordered Ripple to pay a $125 million penalty in connection with alleged securities law violations. The SEC previously received an extension to file its brief but was warned that no further delays would be permitted.

Former SEC lawyer Marc Fagel acknowledged the filing’s necessity, stating, “The SEC staff must comply with court orders regardless of leadership changes.” However, he hinted that the appeal might lack long-term viability under new SEC leadership.

The XRP community remains divided on the likelihood of an appeal versus a settlement. Some believe the Trump administration’s influence and Paul Atkins’ history of less aggressive enforcement might favor an out-of-court resolution.

Settlement Likelihood Grows Amid XRP Market Impact

Legal experts suggest the lawsuit may conclude by April or May 2025, citing the potential for a settlement. A dismissal of the appeal would affirm Judge Torres’ ruling and clear Ripple of further liability beyond the $125 million fine.

Key points:

• Deadline: SEC must file by January 15.

• Penalty: Ripple faces $125M, with possible additional terms.

• Outcome Speculation: Experts lean toward settlement under new leadership.

The ongoing case continues to impact XRP prices, with market participants closely monitoring developments. Ripple’s legal team appears prepared to defend its position, even as the SEC transitions to new leadership.

As the clock ticks down, all eyes are on the SEC’s next move and its implications for the broader cryptocurrency market.