XRP Jumps 13% After The End of Ripple-SEC Lawsuit

• XRP jumped 13% after the SEC dropped its appeal in the long-running lawsuit.
• Garlinghouse calls SEC actions against the crypto industry “broken” and “not in good faith.”
• Price surge coincides with the launch of the first CFTC-regulated XRP futures in the US.

With the end of the legal trauma, a new dawn has commenced for XRP. XRP’s price has surged following an announcement by Ripple CEO Brad Garlinghouse that the U.S. SEC has decided not to move ahead with its appeal in the legal case against Ripple. The token jumped from a 24-hour low of $2.28 to as high as $2.57 following the news, which was a gain of approximately 13%.

Speaking at the Digital Assets Summit in New York on Wednesday morning, Garlinghouse expressed relief at the conclusion of the nearly four-year legal battle. “It’s been almost four years and about three months since the SEC originally sued us, certainly a painful journey in lots of ways,” he said. “I really deeply believed that we were going to be on the right side of the law and on the right side of history.”

The Ripple CEO didn’t hold back criticism of the regulatory agency, stating: “The system just feels broken. That we had to fight this fight for the industry and you had an SEC attacking the industry, particularly the Ripple case. There were no victims, there was no investor loss. They were just not acting in good faith.”

The legal dispute started in December 2020 when the SEC filed a lawsuit against Ripple, alleging that the company violated U.S. securities laws by selling XRP without proper registration. In July 2023, U.S. District Judge Analisa Torres issued a partial ruling, determining that XRP was not classified as a security.

This resolution comes amid a change in the SEC’s approach to cryptocurrency regulation. In recent weeks, the agency has ended its enforcement case against Coinbase, and closed investigations into Robinhood’s crypto unit, Uniswap, Gemini, and Consensys without taking enforcement action.

The positive news for XRP was followed by an announcement from Bitnomial that it is launching the first-ever CFTC-regulated XRP futures in the United States. These physically settled futures contracts will provide institutional investors with a regulated way to gain exposure to XRP.

In a recent interview, Garlinghouse addressed questions about XRP’s potential inclusion in the government’s digital asset stockpile. While XRP wasn’t specifically named in the executive order establishing the strategic Bitcoin reserve and digital asset stockpile, Garlinghouse expressed confidence that XRP would be included.

Related: SEC Drops Ripple Lawsuit: XRP Surges After Five-Year Battle

“My understanding is there’s going to be a Bitcoin strategic reserve. There’ll be a crypto stockpile representing other cryptos, and I would expect that will include XRP,” he stated. The CEO also mentioned the change in the government’s approach to cryptocurrency under the current administration.

Garlinghouse also expressed confidence about the prospects for XRP ETFs. He noted that 11 different filings are currently pending with the SEC from providers including Bitwise and Franklin Templeton. “I think those will be live in the second half of this year,” he predicted.

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