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Mustafa Mulla
Mustafa Mulla
Author
Mustafa has been writing about Blockchain and crypto since many years. He has previous trading experience and has been working in the Fintech industry since 2017.
- Jun 20, 2025 13:35 UTC
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XRP Lawsuit Update: Court Twist as Ripple, SEC Request Changes
Ripple and SEC jointly request court to revise penalty and settlement terms in lawsuit.
Ripple argues removing injunction won’t exempt it from obeying existing securities laws.
Lawyer Bill Morgan says Ripple, not SEC, is behind latest case delay.
Ripple and the U.S. SEC seem to be heading toward the finish line in their long-standing legal battle. But just when things appeared to be wrapping up, a new twist has emerged: both sides are now asking the court to change some of the penalties that were already decided.
So, what’s behind this move, and why is the case still not over?
Ripple SEC Push to Modify Penalty
Recently, Ripple and the SEC jointly filed a motion that caught the attention of the XRP community. They’re asking for what’s called an “indicative ruling,” which means they want the judge to consider changing part of the final judgment, especially the relief and penalties.
Former SEC lawyer Marc Fagel explained that both parties are now trying to revise the $125 million penalty and the injunction that prevents Ripple from making similar unregistered sales in the future.
Interestingly, Ripple added a follow-up letter, arguing that dissolving the injunction wouldn’t exempt them from following securities laws. They still agree to comply with the law, even without court enforcement.
Who’s Causing the Delay—Ripple or the SEC?
The situation has left many in the crypto community wondering, who is actually causing the delay?
Interestingly, XRP lawyer Bill Morgan responded by saying it’s not the SEC dragging its feet, it’s Ripple that’s asking for more. He pointed out that the SEC has shown a willingness to cooperate, especially in dissolving the injunction.
Marc Fagel added that the charges were brought under previous SEC leadership, not Gary Gensler, and the case is now waiting on a judge’s decision, not stalled by the SEC.
SEC Appeal Changes Ripple’s Strategy
According to Morgan, the SEC’s recent shift in enforcement strategy has made Ripple bolder. He suggested that if the judge agrees to the joint request, a final settlement could happen within weeks.
But now, Ripple sees an opportunity to push for better terms. The appeal gave Ripple a reason to aim higher, hoping for a more favorable outcome.
Until then, all eyes are on Judge Torres as the court decides whether to grant the relief modification and bring this high-profile case to a close.
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FAQs
No, the case is still active. Ripple and the SEC are seeking changes to penalties, and the court has yet to issue a final ruling.
Ripple would no longer face court restrictions but must still comply with securities laws voluntarily.
If the judge approves the request to modify relief, a final settlement may be reached within weeks.
Yes 
No 
