The long -term legal battle between the Ripple Labs and the US Securities and the American Stock Exchange (SEC) took another big turn. Recently, a federal judge rejected a joint settlement proposal submitted by both parties, which aims to reduce the 125 million dollar Ripple penalty and raise a judicial order against future securities violations. This decision not only maintains a complete penalty kick, but also maintains the regulatory pressure on the company and emphasizes the SEC position that XRP is safety. The effects of this ruling are long -term, which are likely to affect the ability of Ripple to raise the capital and include its symbol on more exchanges, as well as a legal precedent to regulate the coined currency in the future.
The background of the case
The case started in 2020 when SEC filed a lawsuit against Ripple, claiming that the company sold XRP as unregistered security. This lawsuit was pivotal in the coded currency area, as it addresses the classification and legal status of digital assets. Over the years, both parties have participated in large -scale legal battles, with Ripple argued that XRP does not constitute security under American law. Despite these efforts, he was young through procedural complications and delay.
Recent developments and rejected settlement
Recently, Ripple and SEC jointly submitted a suggestion looking for an indicator to support the proposed settlement. This agreement would reduce the financial penalty imposed on Ripple and raise the dysfunction that prevents future sales of XRP. However, the suggestion was rejected by Judge Angia Torres of the American Provincial Court of the southern region of New York. Rejection was based on procedural reasons, because the proposal did not follow the correct legal process under Article 60, which requires proving exceptional circumstances to amend the final ruling.
Impact on Ripple and Cryptocurrency
The decision has significant effects on Ripple and the broader cryptocurrency market. By adhering to a 125 million dollar penalty and maintaining the bargaining order, the court strengthened the position of the Supreme Education Council that XRP is subject to the laws of securities. This ruling may hinder Ripple’s ability to collect capital, as potential investors may be deterred due to continuous legal uncertainty and organizational auditing. Moreover, the decision from the XRP list may limit more exchanges, as many platforms are cautious about the inclusion of assets that are subject to organizational auditing.
On a wider scale, this issue determines a critical legal precedent for how to classify and organize cryptocurrencies in the future. The position of the Supreme Council for Continuing Education can affect XRP as safety on how to look at other digital assets by organizational bodies. This precedent can be the organizational scene of encrypted currencies, which affects their adoption and use in various financial contexts.
Perspective from Tamul
The chief legal official of Ripple, Stuart Alderoty, stressed that the court’s decision does not undermine the previous legal victories of Ripple, including the ruling that XRP is not safe in specific sales contexts. Aldruti pointed out that rejection is a purely procedural and does not affect the general legal position of the company. Ripple and SEC are still committed to resolving the case and are likely to review the court with a revised movement.
The general reaction and the impact of the market
The rejected settlement news led to a significant decrease in the price of XRP, which reflects the uncertainty in the market about the future of the encrypted currency. Nevertheless, the Ripple leadership assured the community that the company is still on solid ground and focuses on resolving legal issues. The market reaction highlights the sensitivity of the cryptocurrency prices for organizational developments and legal results.
Future steps and possible results
Given the rejection of the settlement proposal, Ripple and SEC will need to reconsider its strategy to resolve the issue. They may submit a revised proposal that addresses the procedural cases raised by Judge Torres. In addition, the parties must clarify why the raising of the impartial public interest serves the public interest, especially given the original ruling that violates the institutional sales laws in Ripple. As the case progresses, both parties are likely to participate in more legal maneuvers to achieve their goals.
conclusion
The rejection of the SEC and Ripple settlement proposal is an important moment in the ongoing legal epic surrounding XRP. While it maintains the organizational pressure on the ripple, it also emphasizes the complex legal scene surrounding the encrypted currencies. The results of this situation can have far -reaching effects on how to organize and classify cryptocurrencies in the future, which affects the growth and adoption of digital assets at the world level. As the legal battle continues, it is still necessary for both parties to move in procedural complications and organizational challenges effectively.
