Since the beginning of 2023, Ripple has made significant progress in its legal battle against the United States Securities and Exchange Commission (SEC). The SEC has accused Ripple of illegally selling the XRP token, which it considers a security. At the start of the year, there was uncertainty about the lawsuit’s outcome, with many expecting a settlement. However, intense disputes followed, including motions to block expert testimony and unseal controversial documents.
Despite these challenges, Ripple experienced several victories. One major win came when Judge Analisa Torres denied the SEC’s motion to seal the Hinman documents, which revealed that a crypto could be considered not a security if it becomes “sufficiently decentralized.” Another significant ruling stated that retail sales of XRP did not constitute securities sales, but past direct sales to institutional clients did.
As 2024 approaches, the case is nearing its final settlement. The presiding judge will determine the damages Ripple must pay for institutional XRP sales. A jury trial is scheduled for the second quarter of 2024. In late October, the SEC agreed to dismiss civil allegations against Ripple’s CEO and co-founder.
Despite the legal battles, XRP’s value has shown positive growth in recent weeks and months.
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