Ripple and the SEC’s legal fight continues ahead of final judgment

Ripple’s chief legal officer said that the new filing from the SEC is “more of the same”

article-image

Ripple CEO Brad Garlinghouse | Ben Solomon Photo LLC for Blockworks

share

One of the final battles between the Securities and Exchange Commission and Ripple continues. 

The case, initially launched in 2020, still faces a final judgment. The SEC is seeking nearly $2 billion in a final judgment. A sum, Ripple argued, that is too high. The firm asked the court to lower the penalty to “no more than $10 million” in a filing late last month. 

The SEC, in its newest filing, disagrees with Ripple unsurprisingly. 

Ripple, the regulator said, failed to argue how “that negligible ‘low’ penalty would meaningfully punish its violations or deter it or others from future large-scale capital raises without required registration.”

The regulator is arguing that the $1.9 billion it’s seeking pales in comparison to the $1 billion that Ripple made in violating Section 5 of the Securities Act and “the multi-billion-dollar business it built selling XRP.”

Read more: Ripple proposes ‘no more than $10M’ in penalties after SEC seeks $1.9B

Ripple, on the other hand, argues that the multi-million sum is fair when looking at other crypto cases like BlockFi, Genesis Global and Block.one. The SEC disagreed with the argument, saying the listed cases were just settlements. 

“Ripple has failed to meet its burden of showing that the SEC’s calculation is not a reasonable approximation of Ripple’s ill-gotten gains,” the SEC wrote. 

On X, Ripple’s Chief Legal Officer Stuart Alderoty said that the filing was “more of the same from the SEC.”

“The good news is that we are closer than ever to putting this lawsuit behind us, though unfortunately, many are just starting the journey. We trust the Court will approach the remedies phase fairly,” he continued.

The filings suggest that the final judgment is looming, though it’s unclear what the court will decide with two radically different proposals.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.jpg

Research

Figure, founded by former SoFi CEO Mike Cagney, has emerged as a leader in onchain RWAs, with ~$17.5B publicly tokenized. The platform’s ecosystem volume is growing ~40% YoY as it expands beyond HELOCs into student loans, DSCR loans, unsecured loans, bankruptcy claims, and more. Operationally, Figure cuts average loan production cost by ~93% and compresses median funding time from ~42 days to ~10, creating a durable speed-and-cost advantage.

article-image

The new stBTC token redistributes Bitcoin gas fees to users, creating liquid yield without inflation or lockups

by Blockworks /
article-image

The reserve will collect protocol revenues to back W token, alongside new yield and unlock schedule

by Blockworks /
article-image

Layer 2 network Taiko integrates Chainlink Data Streams to deliver reliable onchain market data for DeFi and institutions

by Blockworks /
article-image

The license will allow Bullish to operate in New York under strict digital asset rules

by Blockworks /
article-image

The derivatives giant expands crypto offerings with new Solana and XRP futures options, pending regulatory review

by Blockworks /
article-image

Nasdaq-listed firm to fund Solana token purchases and expand its blockchain-focused treasury strategy

by Blockworks /