SEC Files Settlement Agreement Letter: Here is What Next for XRP Price and Ripple Labs

The United States Securities and Exchange Commission (SEC) filed a settlement agreement letter with U.S. District Court Judge Analisa Torres regarding the longstanding litigation against Ripple Labs. As a result, the SEC vs. Ripple lawsuit is officially closed after more than four years of relentless legal battles.

Following the settlement agreement letter, Judge Torres needs to indicate whether the court would dissolve the injunction and release the $50 million in the escrow account back to Ripple Labs. If Judge Torres grants the settlement request, Ripple and the SEC will then turn their attention to the Second Circuit.

“After the injunction is dissolved and the funds distributed, the SEC and Ripple will ask the Court of Appeals to dismiss the SEC’s appeal and Ripple’s cross-appeal.  Then it will be over,” James K Filan, a top defense lawyer, noted. 

XRP Price Thrives on Ripple’s Success

The closure of the SEC vs Ripple case will have a long-lasting impact on the company’s business model. As an American-based web3 company, Ripple is well-positioned to attract strategic partnerships from financial institutions in the near future.

Meanwhile, on-chain data shows XRP whale investors, with an account balance of between 10 million and 100 million, added more than 880 million coins in the past month to currently hold about 7.75 billion units. 

Consequently, XRP price has gained bullish sentiment akin to Bitcoin and the wider altcoin market. In the past 24 hours, XRP price gained over 7.8 percent to trade at about $2.3 on Thursday, May 8 during the late North American trading session.

According to crypto analyst Ali Martinez, XRP price is well positioned to rally towards the next target of about $2.60 after breaching the resistance around $2.26.