Ripple CEO Brad Garlinghouse announced on X that the US Securities and Exchange Commission (SEC) has dismissed its nearly five-year case against the company.
“This is it. The moment we’ve been waiting for. The SEC will drop its appeal – a resounding victory for Ripple, for crypto, every way you look at it.”
— Brad Garlinghouse (@bgarlinghouse) March 19, 2025
Additionally, a Ripple spokesperson confirmed to the Wall Street Journal that the SEC’s decision is pending a commission vote and final approval.
Case Background
The lawsuit initiated in 2020 alleged that Ripple Labs sold XRP as an unregistered security, claiming they raised $1.3 billion from both institutional and retail investors. Garlinghouse criticized this case, stating that “this case was doomed from the start.”
Following Donald Trump’s re-election, the SEC also dropped cases against various crypto firms, including Coinbase and Consensys’ MetaMask. Acting SEC Chair Mark Uyeda expressed the need for the commission to reconsider its regulatory strategies during a securities conference in Orlando.
Future of Crypto Regulation
The SEC is contemplating whether to abandon a contentious proposal from the Biden administration regarding the custody of crypto assets by financial firms. This proposal aimed to extend existing custody rules to cover cryptocurrency assets, requiring qualified custodians to maintain these assets on behalf of investment advisers. Uyeda noted that the SEC must focus on effective and reasonable regulations that respect statutory limits.
Key Takeaways:
- Ripple’s CEO has confirmed the SEC’s case dismissal.
- The SEC is reconsidering its approach towards regulating crypto assets.
