USDRipple’s SEC Case Ends With Final Ruling as ETF Speculation Heats Up
Legal Resolution Marks Turning Point for XRP and Potential ETF Filings
The years-long legal battle between Ripple Labs and the U.S. Securities and Exchange Commission reached a decisive conclusion on August 8, 2025, after both parties jointly agreed to drop their respective appeals in the Second Circuit Court of Appeals.
The agreement, filed in a joint stipulation of dismissal, confirmed that each side would bear its own costs and fees, effectively ending one of the most significant courtroom showdowns in the crypto industry. Ripple CEO Brad Garlinghouse had already signaled in June that the company would abandon its cross-appeal, emphasizing a shift toward growth by stating, “We’re closing this chapter once and for all, and focusing on what’s most important — building the Internet of Value.”
The conclusion leaves Judge Analisa Torres’ July 2023 mixed ruling intact as the final judgment. That decision found that hundreds of millions of dollars in XRP sales to institutional investors were unlawful securities transactions, while siding with Ripple on “blind bid” sales to retail investors, ruling those were not securities offerings. News of the settlement sent XRP’s crypto price climbing more than 7% from roughly $3.04 to $3.27, a notable move on the broader crypto price index, further reinforcing the coin market cap’s position among the largest digital assets.
Supporters of the token, often referred to as the XRP Army, hailed the outcome as a vindication of their long-standing belief in the asset’s legal standing. The phrase “right side of history,” first used by Garlinghouse in a 2020 blog post, became a rallying cry once more. Long-time community member MackAttackXRP reflected that while the case kept XRP’s price suppressed—allowing more time for accumulation—he would have preferred avoiding the ordeal altogether. Attorney John Deaton, representing over 75,000 XRP holders, played a pivotal role in gathering hundreds of affidavits in the defense effort. “We emerged from this battle bigger and stronger together,” MackAttackXRP said, while another advocate, CryptoinsightUK, stated that the outcome had “confirmed” their conviction.
The legal clarity has amplified speculation that the first U.S. XRP exchange-traded fund could soon be in the works. Analysts estimate the odds of approval have surged to around 80% following the dismissal of appeals. Nate Geraci, president of the ETF Institute, suggested BlackRock may now move forward with an iShares XRP ETF filing, noting it would make “zero sense” for asset managers to limit offerings to Bitcoin and Ethereum.
Bloomberg ETF analyst Eric Balchunas placed the likelihood even higher, near 95%, pointing out that while SEC Commissioner Caroline Crenshaw had expressed opposition, she was outnumbered by other commissioners. Market observers see potential for an ETF to drive liquidity and institutional inflows similar to those seen after BlackRock’s Bitcoin ETF debut in 2024, while also broadening investor exposure beyond the two largest cryptocurrencies.
Ripple also used the day to announce its $200 million acquisition of Canadian stablecoin platform Rail, a firm licensed as a payment service provider and known for its regulatory-compliant enterprise payment solutions. The move positions Ripple to integrate its USD-pegged RLUSD stablecoin into Rail’s infrastructure, supporting programmable payments, smart contracts, and automated treasury tools. Garlinghouse described the acquisition as “a crucial step in advancing digital payments.” Rail will connect with RippleNet and complement other services such as On-Demand Liquidity and partnerships with institutional brokers like Hidden Road, forming a multi-asset network that offers both volatile crypto assets and regulated stablecoins to institutions. This combination of legal closure and strategic expansion underscores Ripple’s intent to solidify its role in shaping the future of digital finance.
This article has been refined and enhanced by ChatGPT.
