Ripple agrees to drop SEC cross-appeal

Ripple Labs has agreed to drop its cross-appeal against the U.S. Securities and Exchange Commission (SEC), ending a four-year legal battle.

The blockchain firm will receive a $75 million refund from a $125 million judgment issued in August 2024, with the SEC retaining $50 million in escrow.

“This should be my last update on SEC v. Ripple ever,” Chief Legal Officer Stuart Alderoty stated in a March 25 X post, confirming the move.

The settlement hinges on court approval and follows Ripple’s (CRYPTO:XRP) earlier victory in a 2023 district court ruling that deemed XRP sales to institutional investors non-securities.

However, the August 2024 judgment found Ripple liable for unregistered securities sales to retail investors, a ruling both parties now appear to accept.

Alderoty noted the SEC will also seek to lift a standard injunction imposed earlier in the case.

Ripple’s political engagement intensified during the litigation, including $45 million in donations to pro-crypto PAC Fairshake and $5 million in XRP pledged to Trump’s inauguration fund.

CEO Brad Garlinghouse attended a March 7 White House summit on crypto regulation, though Alderoty insisted the SEC’s decision to drop its appeal was “independent” of political ties.

The case’s resolution coincides with Paul Atkins’ nomination to chair the SEC, who faces a March 27 Senate hearing.

Atkins, a Trump appointee, has signaled support for crypto-friendly policies, contrasting with former Chair Gary Gensler’s enforcement-heavy approach.

At the time of reporting, the XRP price was $2.45.