Ripple vs. SEC: End of lawsuit in sight. Settlement imminent?

One of the longest-running lawsuits in the crypto world appears to be coming to an end soon. At least, according to Fox journalist Eleanor Terrett, who reported on Platform X about a possible breakthrough based on two sources.

According to these sources, Ripple's legal department is currently the biggest obstacle to a settlement. The team is said to be trying to negotiate more favorable terms before a final agreement is reached.

Penalty of $125 million another stumbling block

Central to the negotiations is the $125 million fine imposed on Ripple last August. At the time, Judge Torres ruled that institutional sales of XRP violated U.S. securities laws. Sales to private investors, on the other hand, fell outside those regulations.

Interestingly, in other cases in which the SEC stopped legal proceedings, the SEC often referred to the lack of clear regulation within the crypto sector. The question, therefore, is why this reasoning would not apply to Ripple, sources said.

Accepting the fine would amount to an implicit admission of guilt. But within the SEC, on the contrary, there seems to be doubt as to whether there were any violations at all in this case.

Possible breakthrough in April?

Some legal experts, such as U.S. Attorney Fred Rispoli, expect that the case could end no later than April 16. This is the deadline for Ripple to respond to the appeal filed by the SEC.

In recent weeks, the U.S. exchange watchdog has dropped several cases against prominent crypto companies, including Coinbase, Consensys, Kraken and Uniswap.

Yet a quick resolution does not seem obvious. Ripple and the SEC have been embroiled in a legal battle for more than four years, with several rulings and appeals following one another. So the question remains whether the two sides can reach an agreement anytime soon.