The XRP lawsuit between Ripple Labs and the US Securities and Exchange Commission (SEC) has been the subject of much speculation, with rumors of a potential settlement circulating. However, legal experts have been quick to dismiss these rumors as baseless.
Why a Ripple-SEC Settlement Is Unlikely
Legal experts within the XRP community have been vocal in debunking the settlement rumors. Bill Morgan, a seasoned attorney, emphasized the confidential nature of settlement negotiations, noting that there is no hint of a settlement until there is suddenly a settlement. Jesse Hynes, another legal expert, categorically dismissed the rumors as nonsense, stating that settlement talks are often leaked as a power play move for leverage.
Marc Fagel, a retired securities lawyer, ridiculed the notion of leaks in such high-stakes legal matters, highlighting the improbability of sensitive information being leaked. Morgan added that in his 26 years of experience in settlement negotiations, there has never been a leak or breach of the without prejudice privilege attaching to the mediation or settlement negotiations by any party or lawyer.
Ripple’s Legal Challenges and Victories
Since the inception of the lawsuit in December 2020, Ripple has faced significant legal challenges, with the SEC scrutinizing its institutional sales of XRP. Despite the legal turbulence and the consequent bearish impact on XRP’s market performance, Ripple has secured notable victories in court. These include the court’s determination that XRP is not a security and the dismissal of the SEC’s case against Ripple executives Brad Garlinghouse and Chris Larsen.
XRP Price Awaits Decision
As the case progresses into the remedies phase, with crucial deadlines looming, the crypto community remains on edge. The outcomes of this legal battle could have far-reaching implications for Ripple, its related XRP sales, and the digital asset’s price. At the time of writing, XRP was trading at $0.52097.
