XRP Surges as Ripple Settles SEC Lawsuit
XRP has become the top-performing major cryptocurrency over the past 90 days, says Ripple CEO Brad Garlinghouse. This surge comes after Ripple agreed too pay $50 million to the U.S. Securities and Exchange Commission (SEC) as part of a settlement.
The SEC initially sued Ripple in December 2020, alleging it sold XRP as an unregistered security.This case was closely watched in the crypto industry. In 2023, the court ruled that while institutional sales were legal, public exchange sales violated securities laws.
Ripple had set aside $125 million for potential penalties. āWeāre taking most of that back, including the interest,ā Garlinghouse said on Fox Business. He believes the former SEC under gary Gensler was mistaken. The new SEC and White House leadership have been more supportive.
Ripple, like other crypto firms such as Coinbase and Gemini, benefited from supporting president Donald Trump. The company reportedly donated millions to his campaign and $5 million in XRP for his inauguration. Critics call this crypto-crony capitalism, while supporters see it as a move towards clearer regulations.
With the regulatory pressure easing, Ripple plans to expand.It recently acquired Hidden Road, a prime broker, for $1.25 billion. This move allows larger institutions like BlackRock to enter the market safely. Rippleās employee count now stands at about 1,100.
Ripple has also launched a stablecoin with a New York trust license. Garlinghouse expects regulatory clarity to improve in stablecoin legislation and market structure bills. He is bullish on Bitcoin, predicting a price of $200,000 by year-end.
XRPās upward trend began after Trumpās re-election in November. Source: CoinGecko
