XRP community members suggest a potential settlement in the Ripple lawsuit could be on the horizon as the U.S. SEC schedules its first closed-door meeting under new leadership.
FOX Business journalist Eleanor Terrett called the public’s attention to the upcoming SEC closed-door meeting slated for January 23.
According to Terrett, this will be the first closed-door meeting the SEC will hold since pro-crypto Republican commissioner Mark Uyeda assumed acting chairman following Gary Gensler’s resignation on January 20.
🚨NEW: The @SECGov will hold its first closed meeting since @MarkUyedaUS took over as acting chair on Thursday.
On the agenda: pic.twitter.com/WMDHzWQIeY
— Eleanor Terrett (@EleanorTerrett) January 21, 2025
SEC Closed Meeting
Notably, the SEC issued a Sunshine Act notice on its website regarding the meeting. Per the notice, the meeting will occur at 2:00 p.m. (ET) on Thursday, January 23. It will take place remotely or at the commission’s headquarters in Washington, D.C.
Due to the sensitive nature of the topics under consideration, the public will be restricted from attending the meeting. Those expected to participate in the meeting include commissioners, their counsels, recording secretaries, and certain staff.
The meeting’s agenda revolves around resolving litigation claims, settling administrative proceedings and injunctive actions, and matters relating to examination and enforcement proceedings.
Ripple v. SEC Settlement Rumors Soar
As expected, the inclusion of settlement and resolution of litigation claims in the agenda sparked a debate about a potential settlement of the Ripple lawsuit.
Specifically, XRP enthusiasts hope that the SEC, under the leadership of acting chair Uyeda, will drop the Ripple case, which has lingered since December 2020. Some community members have called on Uyeda and Hester Peirce, asking them not to let XRP enthusiasts down.
Former SEC Official Dismisses Settlement Rumors
However, former SEC official Marc Fagel dismissed ongoing speculation about a potential settlement of the Ripple lawsuit. Specifically, he emphasized that the upcoming closed-door meeting is similar to those held weekly at the commission.
According to him, the SEC commissioners will vote on recommendations planned several weeks ago. Most of these decisions were recommended during Gensler’s tenure. The former SEC official warned the public against expecting any monumental announcement, as they might be disappointed.
Interestingly, Terrett agreed with Fagel’s opinion, noting that her post was for informational purposes. The SEC v. Ripple lawsuit is currently in the Second Circuit Court of Appeal. The commission is expecting to overturn the District Court’s decision regarding Ripple’s programmatic sales and other distributions of XRP, which were deemed non-securities.
Uyeda Leadership
In the meantime, Uyeda will serve as acting SEC Chairman until the U.S. Senate confirms a permanent chairperson. Donald Trump has already nominated Paul Atkins to be the chairman of the SEC in his administration.
Even though Uyeda is serving as temporary chairman, he is expected to implement policies in favor of the crypto industry. Uyeda, who became an SEC commissioner in 2022, has been vocal in criticizing the commission’s approach to crypto regulation.
During an interview with FOX Business, he criticized the SEC for regulating the crypto industry through enforcement actions and referred to the commission’s crypto policy as a disaster.
Yesterday, Uyeda launched a new crypto task force geared toward providing the industry with a comprehensive regulatory framework, potentially ending the commission’s regulation-by-enforcement approach. It remains to be seen whether he will make efforts to resolve the SEC’s long-standing legal tussle against Ripple.
