XRP News Today: SEC Settlement Talks Lift XRP – A Turning Point?

• Institution and settlement of administrative proceedings.
• Resolution of litigation claims.
• Other matters relating to examinations and enforcement proceedings.

According to the Sunshine Act, the SEC must provide notice of meetings and a general agenda. The Act does not require the SEC to disclose an attendee list. The agenda is broad and could include settlement talks with Ripple.

This week, Ripple CEO Brad Garlinghouse skirted a question about settlement talks, saying he could not discuss it.

In a settlement, the SEC and Ripple would agree on the penalty Ripple must pay for violating US securities laws. In July 2023, Judge Analisa Torres ruled that Ripple breached US securities laws for selling unregistered XRP to institutional investors. A remedies-related court verdict is imminent.

Settlement and Legal Precedent

If the SEC settles with Ripple, it cannot appeal the court rulings from the case. Significantly, the SEC could not challenge the Programmatic Sales of XRP ruling. In the July 2023 ruling, Judge Torres surmised that programmatic sales of XRP do not satisfy the third prong of the Howey Test.

A settlement could mean the Programmatic Sales ruling sets a precedent for other crypto-related cases. It would be a big win for Ripple and the US digital asset space.

In June 2024, the presiding Judge in the SEC vs. Binance case cited the Programmatic Sales of XRP ruling. She dismissed the SEC charges against Binance, claiming that secondary sales of binance coin (BNB) qualify as securities under the Howey test. Judge Amy Berman Jackson stated,