XRP Lawsuit News: Ripple CLO Says Case Will Be Withdrawn By SEC Under Atkins in 2025
The post XRP Lawsuit News: Ripple CLO Says Case Will Be Withdrawn By SEC Under Atkins in 2025 appeared first on Coinpedia Fintech News
Stuart Alderoty, Ripple’s Chief Legal Officer, has expressed optimism that the future leadership of the U.S. Securities and Exchange Commission (SEC) could shift the trajectory of the company’s ongoing legal battle. Specifically, he hopes that Paul Atkins, nominated by Donald Trump to lead the SEC, might take a more lenient stance towards crypto companies, possibly dismissing enforcement actions based solely on registration issues rather than fraud.
In a January 28 discussion for XRP Community Day 2025, Alderoty acknowledged the SEC’s bureaucratic nature and expressed his hope that under Atkins, the commission might focus on fraud-related cases.
“Litigation, regulation by enforcement, is not the path that this country should be pursuing. I believe the new SEC understands that, and I remain cautiously optimistic that at some point during 2025, the case will be voluntarily withdrawn,” he said.
The Senate has not yet scheduled a confirmation hearing for Atkins, but if he assumes the role, Alderoty believes that the SEC could back away from civil suits against crypto firms, especially those where the main concern is a lack of registration. Ripple, which is currently involved in a lawsuit with the SEC over the classification of its XRP token as an unregistered security, has been in legal limbo since December 2020.
The case has seen significant developments, including a federal judge ruling in August 2024 that Ripple was liable for over $125 million. Both Ripple and the SEC have filed appeals, with Ripple contesting the decision. The outcome of the SEC’s leadership transition could significantly impact Ripple’s legal landscape and its future with the agency.
