SEC is dropping Ripple lawsuit: CEO Brad Garlinghouse

Key Takeaways

The SEC has officially dropped its lawsuit against Ripple, ending a four-year legal battle.
The outcome has confirmed that XRP is not considered a security under the current law.

The US SEC is dropping its long-standing lawsuit against Ripple, concluding a legal battle that spanned over four years and resulted in approximately $15 billion in losses for XRP holders, said Ripple CEO Brad Garlinghouse in a statement on X on March 19.

This is it – the moment we’ve been waiting for. The SEC will drop its appeal – a resounding victory for Ripple, for crypto, every way you look at it.

The future is bright. Let’s build. pic.twitter.com/7WsD0C92Cm

— Brad Garlinghouse (@bgarlinghouse) March 19, 2025

“I’m finally able to announce that this case has ended. It’s over,” Garlinghouse said in a video address. “Sitting here today and reflecting on four years ago, it seems very clear to me that this case was doomed from the start.”

Garlinghouse’s announcement follows last week’s reports that the SEC was deliberating whether to classify XRP as a commodity during their ongoing settlement discussions with Ripple. The potential reclassification arises from considerations of XRP’s utility and trading characteristics, comparing it to Ethereum, which the SEC categorizes as a commodity.

Under Acting Chairman Mark Uyeda, the SEC has taken significant steps to transform its regulatory approach to crypto. The securities regulator has withdrawn from more than 10 prominent crypto enforcement cases, including those targeting Coinbase, Uniswap Labs, and Kraken, among others.

“Today is a victory and a long overdue surrender by the SEC. The SEC under chairman Gary Gensler went after the whole industry using the same arguments they used against us. They weren’t out to protect investors. They were out to intimidate and terrorize,” Garlinghouse stressed.

XRP is not a security

Garlinghouse asserted that the court’s prior rulings, which determined that XRP is not a security, are now established legal precedents.

“We won then on every critical legal point, proving that the digital asset XRP is not a security. That is now the law. And those 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,” said the CEO.

Garlinghouse declared that today’s resolution marked an end to the “war on crypto.” He expressed hope that Ripple’s successful defense would serve as a catalyst for other industry players, encouraging them to stand firm against regulatory overreach.

“We are now closing a chapter in crypto history. I think we’re all stronger for our prior litigation successes and today’s landmark victory,” Garlinghouse stated, pointing to increasing political support including “pro-crypto victories in the ballot box” and “new leadership” in government seeking a “rational and constructive way forward on crypto.”

Garlinghouse called for industry unity, urging participants to “come together” and “leave the tribalism behind,” while expressing his vision for the US to become the “crypto capital of the world.”

The CEO of Ripple also thanked Ripple employees, the legal team, the XRP community, and partners for their support throughout the lengthy legal battle.