XRP Lawsuit Reaches 4 Years as Ripple Pushes Trump to Reform SEC

XRP Lawsuit Reaches 4 Years as Ripple Pushes Trump to Reform SEC

Ripple’s prolonged legal battle with the U.S. Securities and Exchange Commission (SEC) over XRP has entered its fourth year, with the company advocating for reforms under the incoming Trump administration. Ripple’s Chief Legal Officer, Stuart Alderoty, highlighted the need to rebuild trust in the SEC, emphasizing the urgency of addressing the case’s lingering impact on the cryptocurrency industry.

Ripple Calls for SEC Credibility Restoration

Marking the fourth anniversary of the lawsuit, Alderoty shared a pointed message on social media platform X, urging the new administration to tackle the issues stemming from the SEC’s actions. He stated:

“On this 4th anniversary of the SEC’s lawless lawsuit against Ripple, Brad, & Chris, we urge the incoming administration to cleanse the lingering stain of Hinman from the agency. There’s much more to do to repair the damage, but let’s start by restoring trust.”

The lawsuit, filed in December 2020, accuses Ripple, CEO Brad Garlinghouse, and co-founder Chris Larsen of conducting unregistered securities offerings through XRP sales. While Ripple achieved a partial legal victory in 2023, the SEC’s appeal has kept the case unresolved, maintaining regulatory uncertainty for XRP and the broader crypto market.

The Hinman Controversy

Ripple has consistently criticized former SEC official William Hinman, whose 2018 remarks on ethereum’s regulatory status have become a contentious element of the case. Ripple’s legal team argues that inconsistent messaging from the SEC has harmed market participants and stifled innovation.

Potential Policy Shifts Under Trump Administration

With President-elect Donald Trump set to take office, there is growing speculation that his administration could adopt a more crypto-friendly stance. This shift might include appointing a new SEC Chair and a designated “Crypto Czar” to establish clearer regulatory guidelines. Ripple views this as an opportunity to:

• Foster regulatory transparency.

• Build trust between the SEC and the crypto industry.

• Encourage innovation while reducing legal and compliance risks.

Ripple’s Optimism Amid Legal Challenges

Despite the ongoing lawsuit, Ripple remains hopeful that the new administration will prioritize creating fairer policies for digital assets. The company continues to advocate for clear regulations that support innovation while protecting investors, positioning itself as a key player in shaping the future of cryptocurrency regulation