- Ripple’s Q1 filing states the SEC withdrew its XRP appeal and reduced the proposed penalty by more than half.
- XRP legal expert Bill Morgan noted the SEC has not officially confirmed the appeal withdrawal through commissioner approval.
- The report suggests increased institutional interest in XRP, supported by Ripple’s confidence in legal and market outcomes.
Ripple’s latest Q1 report has sparked new attention in the XRP lawsuit by stating that the U.S. Securities and Exchange Commission decided to withdraw its appeal. The report also notes a proposed penalty reduction from $125 million to $50 million and mentions the SEC’s intent to vacate the injunction, pending internal commission approval.
XRP lawyer Bill Morgan flagged inconsistencies in Ripple’s report. He emphasized that the SEC has not officially confirmed its withdrawal through public channels. The Court of Appeals has approved a joint motion to pause the appeal, but Morgan pointed out that a commissioner’s vote appears to be pending.
Ripple’s Statement Cites Legal Confidence
According to the report, Ripple views this development as a validation of its long-standing legal position. The company described it as a “clear victory” for both Ripple and the wider digital asset industry. The update also referenced the SEC’s communication of its intent to step back from further litigation efforts.
Despite Ripple’s confident framing, the absence of a formal statement from the SEC continues to cast uncertainty over the matter. Morgan reiterated that, based on his understanding, the agency’s commissioners have not finalized the decision to withdraw. This discrepancy has drawn increased scrutiny from both legal observers and the crypto community.
Institutional Growth Outlook for XRP
Beyond the legal details, Ripple’s Q1 report projects increased institutional use of XRP. The firm linked market optimism to the evolving legal situation and its efforts to expand on-chain utility. The report positioned the reduced penalty and potential appeal withdrawal as positive signals for long-term adoption.
While Ripple’s disclosure offers insight into internal communications, the legal standing of the SEC’s appeal remains unresolved publicly. Until formal confirmation is issued, the status of the appeal withdrawal remains an open issue in the ongoing case.
