The US SEC and Ripple have finally reached a settlement in their case, which began in December 2020. Both parties have agreed that Ripple will pay $50 million to settle the case about XRP sales. This agreement will also see the case closed.
The SEC shared on Thursday that Ripple will pay $50 million to settle the case, which also included Ripple CEO Brad Garlinghouse and Chairman Chris Larsen. Earlier in March, Ripple had mentioned this settlement deal after saying that the agency was pulling back from it.
Earlier, the SEC, under chair Gary Gensler, had asked for a $2 billion penalty. After a seven-week trial in April, Judge Analisa Torres ruled against the SEC's claim that Ripple's XRP sales were unregistered securities offerings, a decision later upheld by a federal appeals court.
Last year as well, Judge Analisa Torres ordered a $125 million fine, but with this new deal, which is lower than the rest, $50 million will go to the SEC, and Ripple will get back over $75 million from escrow.
This agreement would close one of the major legal battles in crypto history, which began in December 2020. Experts believe this outcome may pave the way for more use of digital assets in traditional banking.
XRP Price Breakout Amid Ripple Settlement Since the news broke, XRP has made a strong move upward, going past the $2.17 resistance point. This move suggests that buyers are returning after a period of inactivity. If the price manages to stay above this level, there’s a chance we could see a return to the coin’s earlier range.
Analysts also add that if Bitcoin continues to provide support from above and the bears are kept in check, XRP might even move toward $2.40 or beyond in the near term. Some also believe its price could go above $3 soon. The coin’s recent rise after the news, along with strong technical signals, has brought hope among traders and investors.
