XRP Rises 3% After Ripple Drops SEC Cross-Appeal
XRP's price increased by over 3% following Ripple Labs CEO Brad Garlinghouse's announcement of the company's decision to drop its cross-appeal against the SEC. Garlinghouse expressed optimism that the SEC would also withdraw its appeal. XRP rose 3.36% to $2.18 shortly after the announcement. The decision follows a US district court's denial of a joint motion from Ripple and the SEC to reduce a $125 million civil penalty and reverse a ruling classifying primary sales of XRP to institutional investors as securities transactions. Ripple's chief legal officer stated that XRP's legal status as not a security remains unchanged, regardless of the court's ruling. If the SEC drops its appeal, it could conclude a four-year legal battle initiated by the SEC in December 2020, alleging Ripple raised $1.3 billion through unregistered securities sales. Garlinghouse previously characterized the $125 million fine as a significant reduction from the SEC's initial demand.
