See More

SEC vs Ripple: Settlement Talks or Legal Standoff?

2 mins
Updated by Bary Rahma
Join our Trading Community on Telegram

In Brief

  • Ripple executives engaged in a settlement conference with SEC officials, sparking speculation about a potential resolution to the legal dispute.
  • However, legal experts caution that such meetings are standard procedural measures and do not necessarily indicate imminent settlements.
  • The ongoing legal battle has garnered attention amid the SEC's pursuit of a $2 billion fine against Ripple for violations of federal securities laws.
  • promo

On March 29, Ripple senior executives held a settlement conference with the US Securities and Exchange Commission (SEC) officials, fueling rumors about a potential case resolution between the entities.

Trending photographs on social media platform X (formerly Twitter) showed Ripple CEO Brad Garlinghouse and Chief Legal Officer Stuart Alderoty outside the federal courthouse in New York.

Is Ripple Settling With the SEC?

The trending images, alongside the court filing, fuelled speculations that the long-standing legal battle might finally be resolved. However, legal experts have cautioned against reading too much meaning into these developments.

Retired securities lawyer Marc Fagel dispelled any notion of an imminent settlement. He clarified that such conferences are standard procedural measures and do not necessarily signal resolved disputes. Typically, these involve discussions devoid of commitments from either party.

“It’s a mandatory pre-hearing settlement conference, part of the original scheduling order. Odds of settlement: about 0%,” Fagel commented.

Read more: Everything You Need To Know About Ripple vs SEC

Meanwhile, a Ripple spokesperson told Fox Business reporter Eleanor Terrett that there was “nothing to share.” This prompted Terrett to suggest that the meeting between the SEC and Ripple could merely be a mandatory meeting preceding the upcoming pretrial conference.

Interestingly, Ripple’s chief legal officer, Stuart Alderoty, criticized the SEC on the same day over its handling of the emerging industry.

“Seven years after the DAO report—which the SEC claims provided clarity to crypto—the SEC is still litigating eight major crypto cases in federal courts with no end in sight. Something’s broken,” he remarked.

Earlier in the week, the SEC disclosed its pursuit of a $2 billion fine against Ripple. The regulator alleged that the firm distributed a substantial amount of XRP in violation of federal securities laws. Moreover, the financial watchdog asserted that it designed the fine to deter similar actions from the crypto industry.

Read more: Ripple (XRP) Price Prediction 2024 / 2025 / 2030

However, Ripple and its executives have vowed to contest these demands. Alderoty said the huge fines were designed to “punish and intimidate” Ripple and that it was not a faithful application of the law.

Top crypto projects in the US | May 2024



In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Oluwapelumi Adejumo
Oluwapelumi believes Bitcoin and blockchain technology have the potential to change the world for the better. He is an avid reader and began writing about crypto in 2020.