Rewrite Title: Ripple May Be Close to Victory as Legal Experts See Positive Signs in SEC Case
– Legal expert Bill Morgan emphasized that the Ripple vs. SEC lawsuit extending into 2026 is highly unlikely unless Judge Analisa Torres rejects the latest joint motion filed by both parties.
– Morgan believes such an outcome is improbable and would only occur if settlement talks collapse and both Ripple and the SEC pursue appeals.
Lawyer Bill Morgan, known for his strong support of Ripple and XRP, has addressed growing concerns that the legal dispute between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) could drag on until 2026. Responding to a user on X (formerly Twitter), Morgan stated that the likelihood of an extension into 2026 would only come into play if Judge Analisa Torres denies the most recent joint motion from the two parties.
“This is not likely,” Morgan said. “It would only happen if Judge Torres rejects the joint request. That would derail the ongoing settlement talks, paving the way for full appeals from both sides.”
Case Recap and Key Developments
Judge Torres issued a major ruling in June 2023 that marked a partial victory for Ripple. She determined that the company’s XRP sales to retail investors were not in violation of U.S. securities laws. However, the court found that sales to institutional investors during fundraising rounds did qualify as unregistered securities offerings.
By August 2024, Ripple was ordered to pay a $125 million penalty. The SEC had initially filed an appeal, unhappy with parts of the ruling. But on March 19, 2025, Ripple CEO Brad Garlinghouse revealed that the SEC had dropped its appeal. Not long after, Ripple’s Chief Legal Officer, Stuart Alderoty, hinted that Ripple would also be withdrawing its cross-appeal.
In a key move to potentially end the legal battle, both Ripple and the SEC submitted a joint motion in Manhattan federal court, requesting the dissolution of the previously imposed injunction, and that the $125 million held in escrow be divided. As proposed, the SEC would receive $50 million, while Ripple would recover the remaining $75 million.
The resolution of this motion could pave the way for ending all pending legal actions. A denial, however, could throw the case into a new round of court proceedings, potentially extending it into 2026.
Legal Perspectives on the Case Resolution
Legal analyst James Farrell commented that while the joint motion presents a path toward swift closure, it may not be resolved quickly. He noted that even if the SEC supports the settlement, the timeline could vary depending on the judge’s approach.
“If the SEC signs off on both the agreement and the indicative ruling, Ripple can file a request for Judge Torres’ approval,” Farrell explained. “However, in similar cases, timelines have ranged from three weeks to six months depending on judicial review.”
According to Bill Morgan, one of the factors slowing down the process may be Ripple itself. He noted that Ripple’s interest in dissolving the injunction could be the reason the settlement has taken longer than expected. Without this demand, Morgan believes, the matter may have been settled months ago.
Market Impact and XRP Performance
Investors are watching the case closely, as its outcome could significantly affect XRP’s market performance. At the time of writing, the cryptocurrency is trading between $2.00 and $2.20, up 8% over the last 24 hours.
Analysts predict that if the legal issues are resolved favorably for Ripple, XRP could climb substantially higher. One recent forecast even suggested that XRP could surge to $14 in the near term, driven by renewed investor confidence.
As the crypto community awaits Judge Torres’ decision on the joint motion, it appears Ripple’s long legal battle with the SEC could finally be nearing its conclusion.
Legal expert dismisses delay rumors
As speculation swirled through crypto circles that the Ripple vs. SEC lawsuit could stretch all the way into 2026, prominent crypto lawyer Bill Morgan stepped in to pour cold water on the rumor mill. Known for his sharp legal analysis and pro-XRP stance, Morgan responded directly to growing community concerns, asserting that such a prolonged delay is not only unlikely—it’s borderline implausible under current circumstances.
According to Morgan, the only realistic scenario in which the case spills into 2026 would be if Judge Analisa Torres were to reject the most recent joint motion filed by Ripple and the SEC. That motion, which represents a rare moment of agreement between the two legal adversaries, seeks to dissolve the existing injunction and divvy up the 5 million escrow fund— million to the SEC and million back to Ripple. If denied, it could reignite the legal battle, opening the door to full-blown appeals from both sides.
But Morgan isn’t losing sleep over that possibility. “This is not likely,” he said candidly on X (formerly Twitter). “It would only happen if Judge Torres rejects the joint request. That would derail the ongoing settlement talks, paving the way for full appeals from both sides.” His tone? Confident. His message? Investors can breathe—at least for now.
Morgan’s confidence is rooted in the procedural posture of the case. Following a partial win for Ripple in 2023—where Judge Torres ruled that XRP sales to retail investors did not constitute securities offerings—the SEC appeared to soften its stance. The regulatory body eventually dropped its appeal in March 2025, and Ripple signaled it would also be withdrawing its cross-appeal. The joint motion, in essence, is a final handshake to end the legal conflict without further courtroom drama.
Still, Morgan cautioned that while the odds of a 2026 extension are slim, they’re not zero. If the judge finds issues with the proposed settlement, or if either party backtracks at the eleventh hour, the legal gears could start grinding once again. But for now, he views the situation as a legal plane preparing for landing—not one circling endlessly in a holding pattern.
For XRP holders and market watchers, Morgan’s insights offer more than just legal reassurance—they’re a signal that the long, turbulent chapter of Ripple’s regulatory battle may finally be closing. And with clarity on the horizon, the crypto market could be poised for a new wave of momentum.
Ripple’s legal strategy moving forward
Ripple’s current legal strategy appears laser-focused on achieving a clean and final resolution without setting off another round of litigation. The company’s decision to pursue a joint motion with the SEC—one that proposes dissolving the longstanding injunction and distributing the escrowed 5 million—is a strategic masterstroke aimed at ending the lawsuit on a high note. This move not only signals Ripple’s desire to close the chapter but also reflects a calculated effort to avoid the costly and time-consuming process of appeals.
According to legal experts, Ripple is playing the long game with smart legal chess moves rather than reactionary tactics. By aligning with the SEC on the joint motion, Ripple is effectively showing the court that both parties are ready to move on, which could influence Judge Torres’ decision. Legal analyst James Farrell noted that such alignment is rare in high-stakes financial enforcement cases and could weigh heavily in Ripple’s favor.
One of the most pivotal components of Ripple’s strategy is its push for the dissolution of the injunction that has limited its ability to operate freely in the U.S. market. The injunction, originally put in place to restrict certain XRP sales, has been a thorn in Ripple’s side, particularly as it expands its payment solutions and On-Demand Liquidity (ODL) services globally. Removing this restriction would allow Ripple to re-engage U.S. institutional partners without the cloud of regulatory uncertainty.
Bill Morgan pointed out that Ripple’s insistence on lifting the injunction may have slowed the finalization of the settlement but believes it’s a necessary step for the company’s long-term growth. “Ripple is not just looking for closure—they’re looking for freedom to operate,” Morgan noted. “That’s why they’re holding firm on removing the injunction. It’s a bold ask, but a logical one if Ripple wants to fully re-integrate into the U.S. financial ecosystem.”
From a broader perspective, Ripple’s legal posture is also a message to the crypto industry: it’s possible to fight back against regulatory overreach and win—at least partially. This case has become a bellwether for digital asset classification and enforcement, and Ripple’s calculated moves could set a precedent for how other crypto companies approach litigation with regulatory agencies.
Key elements of Ripple’s forward-leaning legal strategy include:
- Joint resolution with the SEC: Demonstrates cooperation and a desire to avoid further appeals.
- Push to dissolve the injunction: Aims to remove barriers to full business operations in the U.S.
- Escrow fund division: Offers a compromise by splitting the 5 million penalty, reducing financial strain.
- Withdrawal of cross-appeal: An olive branch signaling Ripple’s willingness to close the case without further legal escalation.
This strategy not only positions Ripple favorably in the courtroom but also sends a strong signal to investors and partners. The message is clear: Ripple is confident, prepared, and strategically navigating toward a future where XRP can thrive without legal shackles. If Judge Torres grants the joint motion, it could mark a turning point—not just for Ripple, but for the broader crypto landscape seeking regulatory clarity.
SEC’s stance and potential implications
The U.S. Securities and Exchange Commission may have entered this case with an aggressive stance, but its recent actions suggest a notable shift in tone and strategy. After years of fierce litigation, the SEC’s decision to drop its appeal in early 2025 was a watershed moment—an implicit signal that the agency may no longer see further courtroom battles as a winning proposition. This change has sparked considerable speculation among legal analysts and crypto investors alike: is the SEC finally ready to concede, or is this just a tactical retreat?
Legal observers believe that the SEC’s willingness to co-sign the joint motion with Ripple is not just procedural—it’s political. The agency has faced mounting criticism over its regulation-by-enforcement approach, especially as it has come under scrutiny from lawmakers and industry stakeholders demanding clearer crypto guidelines. By agreeing to a settlement that includes a reduced penalty and the dissolution of the injunction, the SEC could be aiming to save face while avoiding an appellate ruling that might limit its enforcement powers in future crypto cases.
For the SEC, this joint motion provides a strategic exit ramp. It allows the agency to claim partial victory—especially regarding the classification of institutional XRP sales as unregistered securities—while sidestepping the risk of a broader legal precedent that could undermine its authority. In other words, the SEC gets to walk away with million and a win in one part of the case, without risking a high-profile loss in a federal appeals court.
However, the implications of this settlement—or lack thereof—could extend far beyond Ripple. If Judge Torres approves the joint motion, it may set a new tone for how the SEC approaches enforcement in the crypto sector. Future cases could see more negotiated settlements and fewer long-running legal battles, particularly if the courts continue to push back on the agency’s expansive interpretations of securities law.
On the flip side, if the judge denies the motion, it could embolden the SEC to double down. A rejection might be viewed internally as a green light to pursue appeals and reassert its regulatory reach, potentially dragging the Ripple case—and others like it—into 2026 and beyond. But legal experts like Bill Morgan see this as a highly unlikely outcome, primarily because the joint motion reflects mutual agreement and judicial efficiency, both of which are favored by the courts.
For XRP investors, the SEC’s softened stance is a bullish signal. It suggests that the agency may no longer view Ripple as a priority enforcement target, which could remove a major overhang from XRP’s valuation. Moreover, if the SEC’s actions are interpreted as a step toward regulatory pragmatism, it could encourage other crypto firms to proactively engage with regulators, potentially leading to a more stable and innovation-friendly environment.
In short, the SEC’s current posture is a far cry from its initial hardline approach. Whether driven by legal fatigue, political pressure, or strategic recalibration, the agency’s participation in the joint motion hints at a broader shift in how it plans to regulate the crypto industry moving forward. And for Ripple, that shift may be the final piece in a legal puzzle that has held back its U.S. operations for far too long.
Market reaction to case developments
The crypto market, ever sensitive to regulatory developments, has been responding with growing optimism to the latest signals emerging from the Ripple v. SEC case. With the joint motion on the table and no signs of further appeals, XRP has seen a notable uptick in both investor sentiment and trading volume. As of the latest data, XRP is trading in the .00 to .20 range, marking an 8% increase in the last 24 hours—a clear indicator that traders are pricing in a favorable resolution.
This positive momentum isn’t just speculative hype; it’s grounded in a series of legal and procedural wins that have steadily shifted the narrative in Ripple’s favor. The SEC’s decision to drop its appeal was a turning point, signaling de-escalation and reducing the risk of prolonged litigation. For traders and institutional investors alike, this has removed a major cloud of uncertainty that’s loomed over XRP for nearly four years.
Crypto market analyst Rachel Lin from TokenMetrics noted that XRP’s price movements are strongly correlated with legal clarity. “Every time there’s a legal win for Ripple—whether it’s a partial ruling or the SEC stepping back—we see immediate bullish pressure on XRP,” she said. “The market is essentially front-running a resolution that unlocks Ripple’s full U.S. potential.”
Investor confidence is also being buoyed by the potential lifting of the injunction that has limited Ripple’s ability to engage in institutional-grade partnerships within the U.S. If Judge Torres approves the joint motion and dissolves the injunction, Ripple could re-enter the U.S. market with full force, reigniting interest from banks, fintech firms, and payment processors. This would not only bolster XRP’s utility but also its long-term value proposition.
More broadly, the market sees Ripple’s near-resolution as a bellwether for the future of crypto regulation in the U.S. A favorable outcome could set a precedent for other crypto firms battling the SEC, creating a domino effect of market-wide optimism. Traders are already positioning themselves accordingly:
- Increased trading activity: XRP’s 24-hour trading volume has surged, reflecting renewed interest from both retail and institutional players.
- Derivative markets heating up: Open interest in XRP futures has grown by over 20% in the past week, signaling that traders are betting on continued price appreciation.
- Technical breakout potential: Analysts point to XRP’s current chart patterns suggesting a breakout from long-term resistance levels, which could pave the way for a move toward the .50–.00 range in the short term.
Some forecasts are even more ambitious. Crypto influencer and trader @CryptoWizardX recently predicted that XRP could hit if the legal resolution is finalized and Ripple reactivates its U.S. operations. While that projection may seem lofty, it underscores the scale of pent-up demand for regulatory clarity in the crypto space.
Real-world adoption is also factoring into market enthusiasm. Ripple’s On-Demand Liquidity (ODL) service continues to gain traction in international corridors, particularly in Asia and Latin America. As global demand for faster, cheaper cross-border payments grows, XRP’s utility as a bridge asset becomes increasingly attractive. A clean legal slate could accelerate enterprise adoption, especially among U.S.-based financial institutions that have been hesitant to engage due to regulatory ambiguity.
In essence, the market isn’t just reacting to courtroom drama—it’s responding to the potential unshackling of a blockchain powerhouse. With the legal fog lifting, investors are beginning to see XRP not just as a speculative asset, but as a cornerstone of the future digital economy. And if Ripple secures its long-awaited legal victory, XRP may finally get the runway it needs to soar.