Ripple Labs and the U.S. Securities and Exchange Commission have renewed their effort to bring the long-running XRP lawsuit to a close, filing a joint motion that asks the court to pave the way for a final settlement structure. At the center of the request is a proposal to dissolve the civil injunction entered in the final judgment and authorize the release of $125,035,150 in escrowed penalty funds.
The filing, submitted on June 12, asks District Judge Analisa Torres to issue an indicative ruling under Rules 62.1 and 60(b) of the Federal Rules of Civil Procedure. In practical terms, the SEC and Ripple want the court to signal that it would grant the requested relief if the case were temporarily returned from the appellate court. Because the matter is currently on appeal, the district court cannot simply amend its prior judgment on its own.
Under the proposed arrangement, $50 million would be paid to the SEC in full satisfaction of the civil penalty, while the remainder would go back to Ripple. If Judge Torres issues the requested indicative ruling, the parties plan to ask the U.S. Court of Appeals for the Second Circuit for a limited remand, allowing the district court to formally implement the settlement terms.
A Renewed Attempt After an Earlier Rejection
This is not the first time the two sides have tried to secure this outcome. Judge Torres previously rejected a similar request on May 8, finding that the parties had not shown the kind of “exceptional circumstances” needed to alter a final judgment. That earlier setback made clear that any revised attempt would have to present a stronger legal and procedural case.
In their new filing, Ripple and the SEC argue that the proposed resolution would serve judicial efficiency and avoid prolonged litigation in both the district court and the court of appeals. They frame the request not simply as a private settlement convenience, but as a practical way to conserve judicial resources and eliminate the need for additional rounds of legal proceedings.
The parties also emphasize that settlement is consistent with broader policy considerations. Their motion argues that closing the case now would align with the legal system’s preference for negotiated resolutions where possible, particularly in a matter that has already generated years of high-stakes litigation and extensive public attention.
Why the Indicative Ruling Matters
The procedural posture of the case is important. Since the dispute is already before the Second Circuit, the district court’s authority is limited. That is why Ripple and the SEC are seeking an indicative ruling rather than an immediate modification of the judgment. Such a ruling would effectively tell the appellate court that Judge Torres is willing to grant the requested relief if jurisdiction is returned for that purpose.
If the Second Circuit agrees to a limited remand, the district court could then move to dissolve the injunction and authorize the distribution of the escrowed funds according to the settlement agreement. Without that process, the parties would remain entangled in the normal appellate path, likely extending the timeline and increasing the cost and complexity of resolving the matter.
From a legal strategy perspective, the filing reflects a coordinated effort to clear the remaining procedural barriers rather than relitigate the merits of the case. The central message is that both sides now want closure, and they are asking the courts to facilitate that result within the existing appellate framework.
Regulatory Context and SEC Policy Shift
The motion also places the request within the context of evolving SEC policy. Ripple and the SEC point to changes under interim Chairman Mark Uyeda, noting that the regulator has recently dropped several crypto-related enforcement actions. By referencing those developments, the parties suggest that resolving the XRP case through settlement would be consistent with the agency’s more recent posture toward digital asset registration disputes.
That argument does not change the historical importance of the lawsuit, but it does attempt to show that the proposed settlement is not an isolated procedural maneuver. Instead, it is presented as fitting within a broader recalibration of enforcement priorities in the crypto sector.
For market participants, this policy angle is significant because the Ripple case has long been viewed as one of the most influential tests of how U.S. securities law applies to digital assets. Any step toward final closure is therefore watched not only for its direct impact on Ripple and XRP, but also for what it may imply about the SEC’s direction in future crypto cases.
A Defining Case for XRP and Digital Asset Regulation
The underlying lawsuit began in December 2020, when the SEC alleged that Ripple’s sales of XRP constituted an unregistered securities offering. Since then, the case has become one of the most closely followed legal battles in the crypto industry, shaping debate over token classification, enforcement standards, and the limits of securities regulation in digital markets.
Because XRP sits at the center of that dispute, each procedural development has carried significance beyond the courtroom. The case has served as a touchstone for questions about whether and when crypto assets should be treated as securities, how token sales should be evaluated, and what level of clarity the market can expect from U.S. regulators.
If the court grants the requested indicative ruling and the appellate process allows a limited remand, the result could mark a major turning point. It would not necessarily erase the broader legal and policy questions raised by the case, but it would move one of the industry’s most visible enforcement battles much closer to a formal end.
For Ripple, the stakes include the removal of the injunction and access to funds that have remained locked in escrow. For the SEC, the arrangement would deliver a finalized penalty payment while ending a case that has stretched across multiple years and legal phases. For the broader crypto market, a settlement would stand as an important regulatory milestone—one that could influence how participants interpret enforcement risk around XRP and similar digital assets.
Whether Judge Torres accepts the renewed request remains the immediate question. But the joint filing itself signals something notable: after years of litigation, both Ripple and the SEC are again asking the courts to help them close one of the most consequential crypto cases in the United States.