Ripple vs. SEC: Could a Settlement or Reduced Fine Be Coming Soon?

The ongoing legal battle between Ripple and the SEC may be nearing a turning point, with experts suggesting the possibility of a settlement or a reduced fine.

Legal analyst Jeremy Hogan recently explored the scenario, particularly the proposed $125 million fine, and questioned the implications of a smaller settlement. He noted that if Ripple were to settle for less, it could challenge the court’s prior judgment and create complications for the SEC.

James Murphy, another legal expert, pointed out that Ripple may have leverage, especially in light of an ongoing appeal questioning whether Ripple’s sales of XRP to institutional investors qualify as “investment contracts” under securities laws.

Murphy drew parallels to the 1946 Howey case, where the sale of oranges to wholesalers was deemed a commodity transaction rather than an investment. He believes Ripple could use this argument to push for a lower fine, especially since the court did not address it in its initial ruling.

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