Hello everyone, Have you ever wondered what it feels like when a lawsuit ends after five years? It’s a bit surprising, a bit of a relief. That’s exactly what happened with Ripple and XRP. Five years ago, in December 2020, the US SEC filed a lawsuit against Ripple. It was alleged that they sold XRP without registering it as a security. At the time, many thought that it would take so long, and that maybe there would be no big results in the end.
The case became a very eye-catching event for the crypto community. Many advocacy groups in support of XRP—including the Chamber of Digital Commerce and the Blockchain Association—sent letters to the judge, siding with Ripple. Ripple argued that their sale did not fall under the Howey Test because it was made in the secondary market and there was no mechanism to share profits.
In July 2023, Judge Torres ruled that XRP itself is not a security, although some institutional sales violated the law. The SEC wanted Ripple to pay a multi-million dollar fine, but in the end, Ripple had to pay only $125 million. This is a big win for the crypto industry.
In October of this year, both sides withdrew their appeals. Other lawsuits against Ripple’s CEO and chairman were also resolved. As a result, the most talked-about case that lasted for five years was over.
The market situation is also great. When the case began in 2020, the price of XRP was only $0.22. Now it has reached $2.04, which is an increase of more than 820%. It can be seen that crypto lovers are happy not only with the legal victory, but also financially.
You really have to think that this case is a big lesson and example not only for Ripple, but for the entire crypto community. The legal ambiguity has been cleared, and a new chapter has begun. Those who believed in XRP are now completely relieved and happy. It seems that even a long fight sometimes pays off.
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