In a significant development for the cryptocurrency sector, the ongoing legal saga involving the U.S. Securities and Exchange Commission (SEC) and blockchain technology firm Ripple Labs appears to be nearing a pivotal juncture. Both parties have recently approached the court with a joint proposal aimed at resolving outstanding financial matters, signaling a potential shift towards the conclusion of their protracted dispute.
Details of the Joint Filing
Filed jointly with the Manhattan District Court, the SEC and Ripple Labs have formally requested the dissolution of an existing judicial injunction. This motion specifically pertains to a sum of $125 million, currently held in an escrow account, which was designated as a civil penalty within the scope of their long-running legal proceedings.
Sources, including Fox Business journalist Eleanor Terrett, reported on this collaborative filing. The parties have outlined a specific allocation plan for these funds: $50 million is proposed to be disbursed to the SEC, with the remaining balance slated for return to Ripple Labs.
The joint submission cites “exceptional circumstances” as justification for this proposed alteration to the court’s prior rulings. Key reasons highlighted include the advanced stage of settlement negotiations between the entities, an acknowledgment of the evolving regulatory landscape concerning cryptocurrencies, and a mutual desire to circumvent further costly and time-consuming litigation.
It is worth noting that a similar request from the parties was previously denied by Judge Analisa Torres in May. This latest joint filing follows Judge Torres’s earlier indication in March 2025 that the SEC v. Ripple Labs case was expected to conclude imminently.
Former Wall Street analyst turned crypto journalist, Marcus brings a decade of expertise in trading strategies, risk management, and quantitative research. He writes clear, actionable guides on technical indicators, portfolio diversification, and emerging DeFi projects.