From May 5 to 9, the virtual asset market recorded a strong upward trend

This was due to U.S. President Donald Trump's signing of a trade agreement with the United Kingdom, which boosted investment sentiment toward risk assets.

From May 5 to 9, the U.S. Securities and Exchange Commission (SEC) and Ripple Labs agreed to settle a legal dispute that has lasted nearly five years.

The SEC and Ripple have requested approval for the settlement and rescission of existing orders from the U.S. District Court for the Southern District of New York, according to a joint statement on Thursday. If the court accepts this, both sides will withdraw their appeals and share the fine currently held in an escrow account.

This marks the first major dispute to be settled by Paul Atkins since his appointment as SEC Chairperson in April.

The SEC is planning to return all but $50 million of the $125.03 million fine assessed to be shared by Ripple and founders. In essence, this leaves Ripple to effectively pay a $50 million fine. For context, the maximum penalty the SEC sought during the Biden administration was $2 billion.

The SEC filed suit in 2019, alleging that Ripple sold unregistered securities in the form of its XRP token to raise $1.3 billion. The agency also asserted that executives misled investors by guaranteeing an opportunity to profit from arbitrage on a spatial price differential in XRP.

The case has been closely watched by the cryptocurrency industry, as a victory for the SEC could have significant implications for the regulation of other cryptocurrencies.

The case went to court in March, with both sides presenting their arguments to the judge. The SEC argued that XRP should be classified as a security, while Ripple maintained that it was a currency or payment token, subject to the Commodities Futures Trading Commission.

After the hearing, the judge ordered both parties to try to reach a settlement.

The SEC and Ripple reached a tentative agreement in May, which was subject to approval by the court. The parties also requested that the court vacate existing orders and dismiss all pending motions and appeals.

If the court approves the settlement, the case will finally be closed after nearly five years. The case has been a major distraction for both parties, and the settlement will allow them to move on.

The settlement also includes a statement of law from the court that will provide guidance on the regulation of cryptocurrency in the U.S. This could be helpful for other companies that are operating in the cryptocurrency industry.

The case has been closely followed by the crypto community, with many members weighing in on the case on social media. Some expressed hope that the case would lead to greater clarity on the regulation of cryptocurrency in the U.S., while others criticized the SEC for its handling of the case.

The case is also likely to have an impact on the price of XRP. The token's price fell sharply after the SEC filed its lawsuit, but it has since recovered somewhat.

The case could also affect the development of the cryptocurrency industry in the U.S. If the court rules in favor of the SEC, it could deter other companies from entering the cryptocurrency market. However, a ruling in favor of Ripple could lead to greater innovation in the industry.