Within the wake of a collection of dropped investigations in opposition to outstanding crypto firms, authorized consultants are weighing in on what these developments may imply for Ripple Labs’ long-standing dispute with the US Securities and Change Fee (SEC).
On Monday, Robinhood confirmed it had obtained a letter from the SEC stating the closure of the regulator’s investigation into its crypto operations—a probe that initially stemmed from a Wells Discover the corporate obtained in Might 2024. Coinbase Chief Government Brian Armstrong additionally revealed final week {that a} comparable SEC investigation into the change had been terminated with no additional motion. As well as, the NFT market OpenSea beforehand noticed its personal SEC probe dismissed.
These terminations observe a rising pattern: The SEC has been systematically closing or dismissing authorized actions in opposition to crypto-focused entities—a stark departure from the extra combative method beneath former SEC Chair Gary Gensler. Notably, Gensler resigned on January 20, 2025, the day Donald Trump was inaugurated as President of the US. Beneath interim SEC head Mark Uyeda, the company has assembled a specialised crypto process pressure overseen by Commissioner Hester Peirce to make clear digital asset rules.
What Is Delaying The Ripple Vs. SEC Case Decision?
James “MetaLawMan” Murphy of Ludlow Avenue Advisors, LLC, took to social media platform X to focus on the importance of those latest SEC strikes: “SEC closes investigation of Robinhood crypto enterprise after beforehand issuing Wells Discover. The post-Gensler SEC seems to lastly acknowledge that the majority crypto tokens usually are not securities. We should always see dismissals of circumstances in opposition to Gemini, Kraken, Binance, Ripple & others.”
In the meantime, he additionally highlighted why the Ripple case may final a tad longer to get a case decision in distinction to the opposite corporations. “The one cause I listing Ripple final is the complexity concerned in negotiating a decision. Ripple is the one reside crypto case with a last judgment in place. So, the SEC & Ripple legal professionals should negotiate what to do concerning the judgment & the cash escrowed for that judgment. That takes time,” Murphy acknowledged through X.
In the meantime, pro-XRP lawyer Jeremy Hogan lately commented on how quickly the SEC’s stance has shifted in sure circumstances, predicting that the SEC may drop the Ripple case much more the brand new SEC chair Paul Atkins is sworn into workplace.
“The Coinbase Case was Dismissed WITH Prejudice – which means it can’t be refiled later; not even a settlement settlement with some minor concessions! I assume this SEC is just not ready for Atkins to be confirmed earlier than making large crypto strikes. Ripple [is waiting in line],” Hogan wrote through X.
General, Murphy’s assertion underscores that whereas different circumstances could also be swiftly dismissed, Ripple’s scenario is extra sophisticated as a result of present courtroom resolution. To resolve these particulars, each the SEC and Ripple’s authorized group should agree on how you can deal with the judgment, a course of that requires time.
At press time, XRP traded at $2.2191.
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