American blockchain payments firm Ripple Labs has officially dropped its cross-appeal in the XRP securities lawsuit filed against it by the United States Securities and Exchange Commission (SEC).
This latest move from Ripple Labs comes barely a week after CEO Brad Garlinghouse confirmed the more than 4-year-old lawsuit has been dismissed.
What Next for Ripple and SEC Lawsuit
Ripple CLO Stuart Alderoty described the dismissal of this cross-appeal as the final crossing of t’s and i’s in the case.
The Legal professional recalled the first move by the markets regulator to dismiss the suit.
As he revealed, Ripple Labs will pay only $50 Million of the original $125 Million fine leveled against the firm.
As part of a historic June 2023 ruling by Judge Analisa Torres, Ripple Labs was found guilty of selling XRP to institutional investors. The court ordered the payment firm to pay $125 Million for this offense.
With Ripple Labs objecting to the ruling after the SEC disputed the retail aspect of the judgment, it placed the funds in escrow.
According to Stuart Alderoty, this escrow holding the funds is an interest-bearing one.
He said the agency will ask the court to list the standard injunction imposed per the regulator’s demand.
Depending on the Commissioners’ positions, the agency will now vote, and all final documents will be completed.
The update from the Ripple CLO has triggered much commentary from industry experts.
Meanwhile, Valhalla Capital Founder Jimmy Vallee is pushing for compensation for XRP holders. They are trying to claim up to $500 Billion from the US SEC.
XRP Price Outlook: Breakout Ahead?
Following the update, the price of XRP has swiftly cleared off its daily losses.
As of this writing, the XRP price was $2.467, and the market value had cleared amid flat growth.
Experts are convinced this update confirms that the coin can now experience the long-sought breakout.
Following the announcement of the end of the lawsuit last week, the coin jumped by over 15%. At the time, it recorded its best price in weeks, jumping as high as $2.966.
Ultimately, the coin is potentially gearing up for a breakout. Analysts may be looking for other catalysts that may push the coin’s price forward.
One of these is XRP ETF, which may now have higher odds of securing regulatory approval from the US SEC.
