SEC Files for $50 Million Settlement With Ripple Over XRP Lawsuit
Summary
The SEC and Ripple Labs have settled a lawsuit after over four years, with Ripple and its executives agreeing to pay $50 million to the SEC. This settlement follows a previous $1.3 billion lawsuit alleging Ripple sold unregistered securities through its cryptocurrency XRP. A judge had previously ordered Ripple to pay a $125 million fine, but under the new settlement, $50 million will go to the SEC, and over $75 million will return to Ripple, pending court approval. In 2023, a ruling determined that XRP sales on exchanges to retail investors were not securities, although institutional sales were deemed unregistered. Following the settlement announcement, XRP's price increased by over 8%, reaching $2.30.
