SEC Drops Ripple Case—Garlinghouse Calls It a "Surrender"

Crypto News Regulation

SEC Drops Ripple Case—CEO Brad Garlinghouse Calls It a "Surrender"

Written by Aaron S.,

Editor-In-Chief

Last Updated: March 20, 2025

Key Takeaways

The SEC has officially dropped its case and appeal against Ripple after nearly four years of legal battles;
A 2023 court ruling declared that sold XRP tokens were not securities, but Ripple was still fined $125 million for institutional sales;
Ripple’s CEO criticized the SEC’s actions, calling them "lawfare", and praised new government leadership for a fairer crypto approach.

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SEC Drops Ripple Case—CEO Brad Garlinghouse Calls It a "Surrender"

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The US Securities and Exchange Commission (SEC) has officially dropped its case and appeal against Ripple, a cryptocurrency company, after nearly four years of legal battles.

Ripple’s CEO, Brad Garlinghouse, shared the news in a March 19 post on X, calling it a “long overdue surrender” by the SEC.

The case, which started in late 2020, accused Ripple and two of its executives of breaking securities laws by raising $1.4 billion through XRP XRP $2.10 token sales. A federal court ruled in 2023 that publicly sold XRP tokens were not securities, which marked a major legal win for Ripple.

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However, the company was still fined $125 million because it had sold tokens to institutional investors without following regulations.

Garlinghouse has been vocal about his opposition to the SEC’s actions, calling the case "lawfare" and criticizing the regulator for targeting the crypto industry without clear rules. He also pointed to changes in government leadership, saying they are taking a more reasonable approach to cryptocurrency regulation.

Speaking at the Digital Asset Summit on March 19, Garlinghouse acknowledged the legal fight had been difficult but said he always believed Ripple was on the right side of the law. He also criticized the SEC’s handling of the case, stating, "There were no victims, there was no investor loss. They were just not acting in good faith".

On March 13, Vermont's Department of Financial Regulation decided to withdraw its legal action against Coinbase. Why? Read the full story.