US judge rejects $50 million settlement between Ripple and SEC for unregistered securities

From Yahoo Finance: 2025-06-26 11:48:00

A federal judge rejected a joint motion by Ripple Labs and the SEC to endorse a reduced $50 million fine for the sale of unregistered securities. The judge criticized both parties for claiming the settlement should excuse Ripple from violating the law. Ripple’s legal officer stated the company has not decided on next steps, while the SEC had no comment. The case involved sales of the XRP token and has been a high-profile cryptocurrency case. The judge ruled that $728 million of XRP sales should have complied with securities laws. The SEC has eased oversight of cryptocurrencies, but the judge did not approve the settlement.

The judge stated that exceptional circumstances do not outweigh the public interest and administration of justice to justify the settlement. She emphasized that parties cannot agree not to be bound by a court’s final judgment regarding violations of the law. The SEC and Ripple can withdraw their appeals or appeal the injunction. XRP is the fourth-largest cryptocurrency by market value. Since Trump’s second term, the SEC has resolved lawsuits against Binance, Coinbase, and Kraken. The case is SEC v Ripple Labs Inc, U.S. District Court, Southern District of New York, No. 20-10832.



Read more at Yahoo Finance: SEC, Ripple wants to settle crypto lawsuit, but US judge rebuffs them