The multi-year legal tussle between the U.S. SEC and Ripple/XRP could be nearing its highly anticipated conclusion.
Prominent crypto journalist Eleanor Terrett of FOX Business reports that two reliable sources familiar with the case informed her that the lawsuit could be over soon.
This development comes as the SEC continues its campaign to freeze and terminate its legal cases against crypto entities like Coinbase, Binance, Uniswap, and Consensys. While the SEC had paused and dismissed these cases, it has yet to decide on the Ripple lawsuit.
This left many XRP investors wondering what could be the reason behind the delay, even though the Ripple case was among the first the SEC initiated against the crypto industry.
Factor Delaying Imminent Dismissal of Ripple Case
Highlighting the factor stalling a potential dismissal, Terrett, citing two unnamed sources, claimed that Ripple’s legal team is negotiating for more favorable terms regarding the New York federal court ruling issued in August 2024.
In that ruling, Judge Analisa Torres penalized Ripple for violating federal securities laws through its institutional sales of XRP. Specifically, the judge imposed a $125 million fine against the company and a permanent injunction restraining it from future violations.
Ripple’s Argument
According to Terrett, Ripple is arguing that since the SEC is seeking to end its enforcement-heavy approach against previously targeted crypto firms by embracing regulatory clarity, it is unfair for the company to be penalized based on Judge Torres’ August ruling.
She suggested that Ripple believes accepting the verdict implies admitting wrongdoing, even though the current SEC leadership seems unsure about whether any misconduct occurred.
🚨SCOOP: Two well-placed sources tell me that the @SECGov vs. @Ripple case is in the process of wrapping up and could be over soon.
My understanding is that the delay in reaching an agreement is due to Ripple's legal team negotiating more favorable terms regarding the August…
— Eleanor Terrett (@EleanorTerrett) March 12, 2025
Terrett gave credit to Attorney James Murphy (a.k.a MetaLawMan) for sharing a similar sentiment earlier this month. Murphy characterized Judge Torres’ decision, particularly the injunction and findings of securities law violations, as ‘not so great for Ripple.’
He suggested that these decisions could be challenging for Ripple if it is planning a future securities offering or IPO.
Mixed Reaction Trails Terrett’s Report
As expected, Terrett’s latest report about the Ripple case triggered mixed reactions among XRP community members and legal experts.
Some users noted that the ‘rumor’ about the lawsuit could be an attempt to manipulate XRP’s price. However, the FOX Business reporter dismissed this speculation, noting that she owns no crypto assets.
This stance seeks to prevent people from accusing her of reporting certain crypto-related events for personal gain.
Experts Weigh In
Several crypto experts also reacted to Terrett’s report. Yassin Mobarak, the founder of Dizer Capital, suggested that Ripple does not consider the $125 million fine problematic. He emphasized that Ripple could pay the fine without blinking.
However, he highlighted the injunction as a big deal preventing the parties from agreeing to dismiss the lawsuit. In his view, Ripple is currently negotiating to remove the injunction, which prevents it from selling XRP to institutions.
Only Condition for Early Resolution
Furthermore, Attorney Jeremy Hogan highlighted the only condition that could lead to an imminent resolution in the Ripple lawsuit.
According to the lawyer, the case will only ‘wrap up soon’ if the parties reach a private settlement, contrary to the August verdict, without ratifying the terms of the agreement in court.
He suggested that the SEC might agree not to enforce the court’s injunction order or establish a pathway to register Ripple’s future institutional sales without completely snubbing the verdict.
“This is the only way I can see the case resolving anytime in the next couple of days or weeks,” Attorney Hogan remarked.
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