Judge Analisa Torres has ruled that the joint request by the U.S. Securities and Exchange Commission (SEC) and Ripple to approve a settlement is “procedurally improper,” thereby keeping the long-running legal dispute alive.
The decision was revealed in a May 15 filing submitted to the U.S. District Court for the Southern District of New York.
Judge Declares Crypto Settlement Request Procedurally Improper
The decision comes just over a week after both Ripple and the federal regulator submitted a proposed settlement agreement aimed at effectively ending the SEC’s civil enforcement action against the crypto firm.
“By styling their motion as one for “settlement approval,” the parties fail to address the heavy burden they must overcome to vacate the injunction and substantially reduce the Civil Penalty,” Torres wrote.
In a statement published on the SEC’s website on May 8, the two parties had stated that they would seek a limited remand to the district court, after which they would move to dismiss their respective appeals against the final judgment, should Torres reject their request.
In March 2025, Ripple and the SEC reached a settlement. Under the agreement, Ripple would pay $50 million of the previously imposed fine, with the remaining $75 million returned to the company.
#XRPCommunity #SECGov v. #Ripple #XRP Judge Torres has denied the parties’ motion for an indicative ruling. “If jurisdiction were restored to this Court, the Court would deny the parties’ motion as procedurally improper.” pic.twitter.com/4s95ILvzsy
— James K. Filan
(@FilanLaw) May 15, 2025
(@FilanLaw) Meanwhile, Ripple has been expanding its operations across different regions, particularly the Middle East.
The company announced on Monday that Zand Bank and fintech firm Mamo will integrate Ripple Payments, its blockchain-powered cross-border payments platform.
Earlier this month, pharmaceutical distribution company Wellgistics announced plans to integrate XRP into its payment and treasury operations, making it one of the first publicly traded firms to do so.
The Florida-based company said it aims to leverage XRP’s blockchain infrastructure to improve transaction speeds and lower settlement costs for pharmacies, suppliers, and manufacturers.
SEC Shifts Its Stance on Cryptocurrency
The court’s pushback comes as the SEC, under the current administration of President Donald Trump, signals a move toward a more crypto-friendly regulatory framework for digital assets.
Trump, who emphasized a pro-crypto stance during his campaign, appointed former SEC Commissioner Paul Atkins to lead the agency.
Atkins is expected to take a markedly more accommodating approach to blockchain sector regulation compared to his predecessor, Gary Gensler, who was known for his aggressive enforcement-driven regulatory strategy.
The agency has already dropped its lawsuits against Coinbase and Cumberland DRW earlier this year, and a separate investigation into Uniswap Labs closed in February without enforcement action.
The agency also closed its investigation into CyberKongz, a prominent Ethereum-based NFT and gaming project, with no enforcement action taken, the team announced on Tuesday.
More recently, the SEC announced it would not pursue further legal action against Richard Schueler, better known as Richard Heart, the founder of Hex, PulseChain, and PulseX.
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