Following the SEC’s decision to withdraw the lawsuit against Ripple, the company has made clear considerations regarding its mutual appeal.
Ripple recorded a big victory yesterday after the company’s CEO Garlinghouse declared that the SEC agreed to withdraw the appeal.
The decision still requires committee approval, but marks the end of a multi-year lawsuit that negatively affected the company’s operations in the United States.
Ripple recalls that the SEC filed the attack a few weeks after the SEC challenged Judge Analisa Torres’ decision. The SEC agreed to withdraw the appeal, but Ripple has not made a decision on its mutual appeal.
Why Ripple’s cross appeal is still pending
In an interview with Bloomberg, Ripple’s CEO provided insight into the causes of the delay. He suggested that the $125 million fine in Judge Torres’ decision and “other works” were key competition points.
Ripple CEO Brad Garlinghouse says the SEC has waived the appeal in a lawsuit against the company.
– Bloomberg Crypto (@crypto) March 19, 2025
Remember, Judge Torres ordered Ripple to pay a $125 million fine for violating federal securities laws and imposed a permanent injunction against our future sales.
In an interview, Gerlinghouse was able to “walk away” from the $125 million fine before the SEC appealed, and he said he “walked away” before President Trump appointed several pro-cryptic policymakers, including Paul Atkins and David Sachs.
However, under current leadership of the Procrypt SEC, he currently has a different reasoning. He noted that regulators also share this sentiment, highlighting that the incident should not be launched in the first place.
He acknowledged that the case presented a clear legal victory in establishing that XRP is not security, but he still believes it calls for some aspects of the lawsuit: fines and permanent injunctions – cleanup. ”
Ripples at the intersection
Interestingly, Ripple’s CEO pointed out that the company is at an intersection. He said the company must decide whether to resolve the remaining issues or reach an agreement with the SEC to resolve the remaining issues, including a $125 million fine and a permanent injunction.
In particular, Ripple has already complied with Judge Torres’ decision by paying the $125 million fine currently being held at Escrow. In an interview, Garlinghouse suggested that Ripple doesn’t care about collecting the money.
“We don’t mind getting it back.” Ripple CEO said.
Top lawyers say Ripple can drop cross appeals to reduce fines
Meanwhile, pro-crypto attorney Fred Rispoli has expressed shock at the SEC’s decision to drop the appeal against Ripple without requiring the company to reject the cross appeal first.
However, he speculated that the parties may have reached an agreement in which Ripple must drop that cross appeal in exchange for a cut in fines. Attorney Rispoli made no mention of the permanent injunctive judge ordered along with a $125 million fine.
It remains to be seen whether the parties will reach an agreement to drop everything related to Judge Torres’ civil penalty.
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