Legal hurdles slow SEC dismissal of Ripple case
SEC stalls Ripple case amid crypto lawsuit dismissals
The U.S. Securities and Exchange Commission (SEC) has recently dropped multiple lawsuits against major crypto firms—including Kraken, Cumberland, and Consensys—yet has notably excluded Ripple Labs from this list.
This exception has sparked renewed interest in the XRP lawsuit, one of the highest-profile crypto legal battles in recent years.
Fox Business journalist Eleanor Terrett shared insights on social media, suggesting that while the omission may appear selective, it is likely due to the complex and unique legal circumstances surrounding the Ripple case. “No Ripple here, but I’m not entirely surprised,” Terrett posted, noting that Ripple’s situation “is slightly different” from the other cases the SEC recently dropped.
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Legal hurdles delay SEC’s withdrawal
Unlike other crypto lawsuits that could be dropped with a simple motion, the Ripple case involves an existing injunction, which legally restricts the SEC’s ability to act unilaterally. In order to proceed with dismissing or withdrawing portions of the case, the SEC must first formally request Judge Analisa Torres to lift the injunction—a procedural step that adds time and complexity to the resolution process.
This distinction underscores why the SEC’s legal path with Ripple remains more drawn out, even as it eases off enforcement actions against other crypto players. The case, which has drawn attention across both the crypto and regulatory sectors, continues to be viewed as a potential precedent for how digital assets are classified and governed under U.S. law.
What Comes Next for Ripple and XRP
As legal observers await the SEC’s next move, the Ripple case stands as a litmus test for broader regulatory approaches to digital assets. Should the court lift the injunction, the SEC may follow through with a motion to dismiss—though no timeline has been confirmed. Until then, Ripple’s legal battle continues to shape the conversation around crypto regulation in the U.S.
We've written before XRP dips below moving averages as traders weigh Polymarket ETF speculation.
