Rumors of a possible resolution to the long-standing Ripple lawsuit have surfaced ahead of the upcoming closed-door meeting of the SEC. The regulatory commission recently announced that a closed-door meeting is scheduled for April 11, 2024, at 02:00 PM (ET), although the specific agenda remains undisclosed. However, members of the XRP community speculate that the Ripple lawsuit settlement could be one of the topics discussed during the meeting. JackTheRippler, a well-known crypto enthusiast, first alerted the community to this development, sparking speculation about a potential settlement.
It is important to note that the SEC’s official announcement does not mention Ripple or XRP, leaving it unclear whether the regulatory commission will address the Ripple lawsuit during the meeting. As with previous closed-door meetings held by the SEC, the general public does not have access to the event. Only top SEC officials, including commissioners, their secretaries, and other key staff members, can attend the meeting either virtually or at the commission’s headquarters in Washington, D.C. It is worth mentioning that a similar meeting took place at the SEC’s headquarters in November but did not result in a settlement in the Ripple case.
As previously reported, the SEC and Ripple held a settlement conference on March 29, 2024, before Magistrate Sarah Netburn as part of a mandatory pre-hearing meeting ordered by the court. However, there is still no official update on the outcome of the conference. While Ripple has expressed openness to a conditional settlement with the SEC, the regulatory agency has shown no interest in pursuing a settlement and seems determined to seek resolution through court verdicts. However, the SEC has not been entirely successful in its decisions, as the court ruled against the commission regarding Ripple’s programmatic sales and other XRP distributions. The court declared that these transactions do not qualify as investment contracts, as alleged by the SEC.
Currently, the case is in the remedies phase, with both parties engaged in litigation to determine the appropriate penalty for Ripple’s violation of federal securities laws by offering and selling XRP to institutional clients. Last month, the SEC filed a remedies-related brief requesting a penalty of nearly $2 billion against Ripple. According to the remedies scheduling order, Ripple will file its opposition on April 22, 2024. Subsequently, the SEC will file its reply by May 6, and the court will then issue a final judgment.
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