Ripple and SEC Push for Settlement Changes—But Will the Judge Agree?
The long-running legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC) might finally be nearing its end—or hitting another roadblock. In a joint motion filed this week, both sides asked the court to tweak the terms of their settlement. Ripple wants its penalty slashed from $125 million to $50 million, with the leftover funds returned. They’re also pushing to lift restrictions on institutional XRP sales, which have been in place since last year.
But here’s the thing: just because both parties agree doesn’t mean the judge will.
Why This Motion Matters
If approved, this could wrap things up quickly. No more appeals, no more back-and-forth. Bill Morgan, a lawyer closely following the case, notes that the hold-up right now is this very request. If Judge Torres signs off, the case dissolves. If not, well, back to square one.
The catch? Courts don’t just undo final orders because it’s convenient. There has to be a solid reason—what’s legally called “exceptional circumstances.” Morgan isn’t entirely convinced Ripple and the SEC have made that case, even if their latest filing tries harder than a previous attempt that got shot down in May.
Is This a Real Compromise or Just a Hail Mary?
Some observers think Ripple might be overreaching. The $125 million penalty was already a negotiated figure, so asking for it to be cut further feels like pushing luck. And the sales restrictions? Those were part of the original ruling for a reason.
Still, the fact that the SEC is on board suggests there’s some behind-the-scenes bargaining happening. Maybe the agency just wants out, too. Or maybe they see this as the cleanest way to avoid dragging things out even longer.
What Happens Next
All eyes are on June 16, when the SEC has to update the court on whether they’re settling or pushing forward with appeals. If Judge Torres rejects the motion, the original terms stand—unless Ripple walks away entirely, which seems unlikely.
Morgan thinks there’s a chance the judge could approve it, but he’s careful not to overstate the odds. Courts don’t love redoing their work unless they have to.
For now, it’s a waiting game. Either this ends with a handshake or another round of legal wrangling. And after years of fighting, nobody’s holding their breath.
