Ripple XRP Price Surges Amid Expectations of Lawsuit Settlement Before SEC’s Decision

Ripple’s XRP price saw a significant spike to £2.64 per token as anticipation grew for a possible resolution to the ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). This surge in price occurred ahead of a closed-door meeting that the SEC was set to hold, focusing on settling injunctive actions, administrative proceedings, and addressing enforcement-linked matters.

Back in 2020, the SEC filed a lawsuit against Ripple, alleging that the company had offered XRP as an unregistered security to raise funds without obtaining the necessary approvals. This legal action was part of a broader initiative under previous SEC Chair Gary Gensler to crack down on market manipulation and fraudulent activities within the cryptocurrency space.

The upcoming SEC meeting marked a significant shift as it would be the first held under pro-crypto SEC acting chair Mark Uyeda. Earlier, Uyeda announced the formation of a crypto task force aimed at reevaluating crypto regulations, particularly regarding the classification of cryptocurrencies as securities. Uyeda’s stance on the issue was reflected in a statement he made in November 2024, emphasizing the need to revise the SEC’s enforcement policies concerning cryptocurrencies.

Despite the positive anticipation surrounding a potential Ripple-SEC settlement, some experts cautioned that a resolution may not materialize immediately. Former securities lawyer Marc Fagel noted that a settlement might only occur following the appointment of Paul Atkins, another pro-crypto figure, as the SEC Chair. Fagel’s perspective suggested that the upcoming meeting was part of a routine process rather than a significant event poised to bring about a resolution to the Ripple lawsuit.

These sentiments were echoed by other industry professionals, with some speculating that the recent surge in XRP price and hopeful expectations for a settlement may be premature. Despite the optimism among some investors and observers, the reality of reaching a resolution could be more drawn out than initially anticipated.

In conclusion, the recent excitement surrounding the surge in XRP price ahead of the SEC’s meeting reflects the broader narrative of regulatory developments in the crypto space. As stakeholders eagerly await the outcome of the closed-door meeting and the potential implications for the Ripple-SEC lawsuit, the market remains poised for further developments that could shape the future of cryptocurrencies and their regulation.