Official announcement from Ripple Labs or the SEC

SEC Appeals Against Ripple Labs to Classify XRP as Security Amid XRP's $3 Breakthrough

Jan 15, 2025, 11:57 PM

The U.S. Securities and Exchange Commission (SEC) has filed its opening brief in an appeal against Ripple Labs, seeking to classify XRP as a security. This move follows a refusal by the SEC to postpone the appeal until after the departure of its current leadership on January 20, 2025. Ripple Labs' Chief Legal Officer Stuart Alderoty criticized the SEC's decision, arguing it represents a waste of taxpayer dollars and suggesting that the legal battle may become irrelevant with the incoming change in SEC leadership under the Trump administration. The appeal stems from a July 2023 ruling that found Ripple's sales of XRP to retail investors did not violate U.S. securities laws, although a subsequent August 2024 decision held Ripple liable for $125 million for securities regulation violations related to fundraising. Amid these developments, XRP experienced a significant price surge, breaking through $3 for the first time since 2018 and recording a 12% increase over the past 24 hours.