David Defeats Goliath: Inside Ripple’s Historic SEC Win That Could See XRP Touch $9 in 2025

XRP price rocketed 13% in a single day, climbing to $2.53, while its market cap swelled to $146.9 billion. On Wednesday, the U.S. Securities and Exchange Commission (SEC) dropped its four-year legal fight against Ripple Labs, sparking optimism within the XRP community and the entire crypto space.

The news, announced by Ripple CEO Brad Garlinghouse on X, sparked a market frenzy and raised fresh questions about the future of crypto regulation. Here’s what went down—and what it means.

SEC Ends Ripple Lawsuit After Four-Year Battle

The SEC ended its case against Ripple on Wednesday, closing a chapter that began in 2020. The agency had accused Ripple of running an unregistered securities offering through XRP sales.

Ripple fought back, insisting XRP is a digital currency, not a security. “This was lawfare, a war of legal terror,” Garlinghouse said on X on Wednesday. He pointed out that the judge slammed the SEC multiple times, even sanctioning it for discovery abuses.

The lawsuit wasn’t just a Ripple problem—it kicked off a wider SEC crackdown on crypto. Garlinghouse claimed it erased billions in value for XRP holders.

“The SEC will drop its appeal – a resounding victory for Ripple, for crypto, every way you look at it,” he posted. The decision marks a rare win for a crypto firm against the regulator.

XRP Price Surges

Markets didn’t waste time reacting. XRP jumped over 10% to $2.53, posting a 13% gain in 24 hours, per CoinMarketCap. Its market cap hit $146.9 billion to maintain its position as the third-largest cryptocurrency.

Garlinghouse thanked Ripple’s team, lawyers, and supporters on X. “These wins have laid the groundwork for policymakers to adopt a set of rules for crypto that are in line with nearly a century of securities law,” he wrote. The market surge backs his point: clarity matters to investors.

The SEC’s retreat isn’t isolated. It recently dropped a case against Coinbase, another crypto giant, hinting at a shift in its enforcement playbook.

Congress has been pushing for laws to define crypto rules and the SEC’s role, with industry voices warning that murky regulations sap market trust and stunt growth.

This Ripple outcome could nudge regulators toward clearer standards. Analysts say it might lead to guidelines that balance innovation with investor safety.

“The judge rebuked the SEC multiple times,” Garlinghouse noted, suggesting courts may now demand more from the agency in future cases.

What’s Next for Crypto Regulation and Investors?

The Ripple ruling could shape how courts handle crypto disputes. It points to a trend of closer scrutiny of regulatory moves, possibly forcing the SEC to sharpen its evidence and approach. That shift might bring more predictable outcomes in legal battles ahead.

For investors, the case underscores the chaos of undefined rules. The 13% XRP spike shows how fast sentiment can flip with good news—but it also highlights legal risks tied to asset classification.

The SEC’s step back from Ripple, which was announced on Wednesday, doesn’t end the crypto regulation debate. It’s a pivot point. Yet, as Garlinghouse put it on X, this is about more than one company—it’s a signal for the industry. 

Whether it leads to saner rules or just another chapter in the crypto saga, the numbers, and the fallout are worth watching.