In a landmark move, the U.S. Securities and Exchange Commission (SEC) has officially dropped its long-running lawsuit against Ripple, bringing an end to a four-year legal battle that has had significant implications for the cryptocurrency industry.
Ripple CEO Brad Garlinghouse announced the news on March 19, declaring, ”I’m finally able to announce that this case has ended. It’s over.” Reflecting on the long legal struggle, Garlinghouse stated, ”It seems very clear to me that this case was doomed from the start.”
The SEC’s decision to drop the lawsuit marks a victory for Ripple and its supporters, confirming that XRP is not considered a security under current U.S. law. This outcome sets an important legal precedent, potentially reshaping the regulatory landscape for digital assets in the U.S.
Garlinghouse highlighted that Ripple’s success in the case is a major victory not just for the company, but for the entire crypto industry. ”Today is a victory and a long overdue surrender by the SEC,” Garlinghouse said, criticizing the agency’s previous stance under Chairman Gary Gensler. He added that the SEC’s actions were more about intimidating the industry rather than protecting investors.
The SEC’s withdrawal from the case comes amid broader changes at the agency. Under Acting Chairman Mark Uyeda, the SEC has taken steps to re-evaluate its approach to crypto, withdrawing from several high-profile enforcement actions targeting major players like Coinbase, Uniswap Labs, and Kraken.
Ripple’s legal victories have now established that XRP is not a security, setting a key legal precedent for the broader crypto market. ”We won on every critical legal point, proving that XRP is not a security. That is now the law,” Garlinghouse emphasized. He argued that this decision lays the groundwork for future crypto regulations that align with established securities law.
Looking forward, Garlinghouse expressed optimism that Ripple’s win could inspire other companies in the industry to stand up against regulatory overreach. ”This is the end of the ’war on crypto,'” he said, adding that the outcome provides momentum for the crypto industry to unite and work together toward a more constructive regulatory framework.
Garlinghouse also praised Ripple’s legal team, employees, and the broader XRP community for their unwavering support throughout the lengthy battle. With this chapter closed, Ripple’s CEO envisions the U.S. as the ”crypto capital of the world,” pushing for unity and a collaborative approach to building the future of digital assets.
Featured image from: thecoinrepublic.com