Ripple’s CEO Brad Garlinghouse and CLO Stuart Alderoty join the broader crypto community to react to Judge Analisa Torres’ final judgment in the SEC lawsuit.
Judge Torres issued the highly anticipated final judgment Wednesday, ending the multi-year lawsuit between the SEC and Ripple.
SEC v. Ripple Final Judgment
As reported earlier, the U.S. District Judge ordered Ripple to pay a $125.03 million fine instead of the nearly $2 billion requested by the SEC following its violation of federal securities law via its past XRP institutional sales.
Also, the court imposed a permanent injunction against future sales to institutions, mandating Ripple to obtain a registration statement from the SEC if it plans to sell any securities.
Despite many legal experts speculating that Ripple might appeal the court’s final judgment, the company seems satisfied with the decision.
Ripple CEO Says Imposed Penalty is 94% of SEC Demand
In a statement issued on X yesterday, Ripple’s CEO highlighted the significant reduction of the SEC’s proposed penalties. According to Garlinghouse, the $125.03 million penalty represents a 94% reduction compared to the SEC’s $2 billion demand.
He said this reduction suggests that the court found the SEC’s initial demand excessive. Interestingly, Garlinghouse expressed respect for the court’s decision, emphasizing that the company now has the clarity to continue growing its business.
Furthermore, he characterized the final judgment as a victory for Ripple and the broader crypto industry. Following the court’s judgment, Garlinghouse confirmed that the regulatory obstacles imposed by the SEC against the XRP community have ended.
Ripple CLO Respects Court Decision
Also, Ripple’s CLO Stuart Alderoty echoed the same sentiment, as he expressed satisfaction with the decision. Summarizing the court’s final judgment, Alderoty noted that Judge Torres dismissed the SEC’s “reckless” claim against Ripple. He added that the judge acknowledged that the lawsuit does not involve fraud allegations that caused investors financial harm.
The Ripple CLO pointed out that Judge Torres rejected the SEC’s absurd demand for a $2 billion fine, adding:
“We respect the $125M fine the Court has imposed for certain historic sales to sophisticated third parties.”
Following the comments from Ripple execs, the company seems satisfied with the final judgment and may not appeal. The major question remains whether the SEC will appeal the ruling, given that the court did not grant its entire request, especially the monetary demand.
