Ripple and SEC Seek to Pause Appeals Amid Settlement Talks

The U.S. Securities and Exchange Commission (SEC) and Ripple Labs have jointly submitted a motion to pause their respective appeals, signaling an intent to finalize a potential settlement.

Important Details:

• The parties aim to resolve ongoing legal disputes stemming from allegations that XRP tokens were sold as unregistered securities.
• The motion suggests this may mark the end of a significant legal battle that has impacted the cryptocurrency industry since December 2020.

Current Situation:

Ripple asserts that XRP should be classified as a currency rather than a security, arguing the SEC does not have jurisdiction over it.

This legal maneuver is part of ongoing discussions aimed at settling not only the SEC’s appeal but also Ripple’s cross-appeal concerning claims against its founders, Brad Garlinghouse and Chris Larsen.

“The parties have filed a joint motion to hold the appeal in abeyance based on the parties’ agreement to settle. The settlement is awaiting Commission approval.”
Translation: The involved parties have requested to pause the appeals based on their agreement to negotiate a settlement, which still requires approval from the SEC commissioners.

As these proceedings unfold, the SEC continues to navigate its regulatory approach regarding cryptocurrencies, reflecting on previous requests to pause ongoing legal disputes, similar to those with Gemini in early April.