SEC vs. XRP: Ripple fights to redefine crypto regulation. A win could reshape digital asset laws globally.
In a landmark development for the cryptocurrency industry, the U.S. Securities and Exchange Commission (SEC) is expected to drop its long-standing XRP case against Ripple Labs. This resolution marks the end of a legal saga that began in December 2020, when the SEC sued Ripple, alleging that XRP was an unregistered security. The case’s dismissal, rumored to be influenced by a recent Executive Order signed by President Donald Trump, has sent ripples through the crypto and iGaming communities alike.
The SEC vs. Ripple: A Brief Recap
The SEC filed its lawsuit against Ripple Labs on December 22, 2020, claiming that the company raised over $1.3 billion through an unregistered securities offering by selling XRP. The agency argued that XRP should be classified as a security under U.S. law, subjecting it to strict regulatory oversight. Ripple countered that XRP was a currency, not a security, and that the SEC’s action stifled innovation. The case dragged on for over four years, with a partial victory for Ripple in July 2023, when a judge ruled that XRP sales to retail investors on exchanges weren’t securities transactions—though institutional sales remained under scrutiny.
Fast-forward to February 2025: Reports emerging this week, including a CoinDesk article, indicate the SEC has withdrawn its remaining claims. While official court documents are pending, X posts from @RippleNewsX (February 19, 2025, 4K likes) claim, “SEC vs. XRP is dead—full dismissal confirmed.” The abrupt end suggests a shift in regulatory winds, possibly tied to broader political changes.
Trump’s Executive Order: A Crypto-Friendly Pivot
According to a Bloomberg report from the same day, a key factor in the SEC’s decision may be a new Executive Order on cryptocurrency signed by President Donald Trump, reportedly enacted on February 17, 2025. While the full text isn’t public, leaks suggest it directs federal agencies—including the SEC—to adopt a “pro-innovation” stance on digital assets. Sources cited by Bloomberg indicate the order mandates a review of pending crypto litigation, with an eye toward reducing regulatory burdens. The XRP case, a lightning rod for crypto advocates, likely topped that list.
Trump’s crypto pivot isn’t surprising. During his 2024 campaign, he pledged to make the U.S. a “crypto capital,” a stark reversal from his earlier skepticism. If true, this order could signal a broader thaw in U.S. crypto policy, with XRP as the first big beneficiary.
XRP’s Price and Market Reaction
The news has jolted XRP’s market performance. Today, CoinMarketCap pegs XRP at $2.45, up 25% since a few days earlier —a $0.49 jump. Trading volume spiked 40% to $3.8 billion daily, reflecting investor optimism. While not at its all-time high of $3.84 (January 2018), this surge contrasts with Bitcoin’s $98,000 plateau (down from $108,268 in December 2024). The SEC drop is credited for unshackling XRP from years of legal uncertainty.
XRP and iGaming: A Natural Fit
XRP’s utility shines in iGaming, where fast, low-cost transactions are king. Unlike Bitcoin, with fees averaging $2–$5, XRP boasts near-zero fees ($0.0002 per transaction) and 3–5 second settlement times, per Ripple’s official site. This makes it ideal for online casinos which cater to bonus-driven players needing quick deposits and withdrawals.
With the SEC case gone, iGaming platforms may accelerate XRP adoption. SOFTSWISS’s Crypto Processing Dashboard already supports XRP among 500+ altcoins, and a 20% rise in crypto bets in Q4 2024 (iGaming Business) suggests growing demand. Stake.com’s crypto focus—10% cashback in BTC/ETH this week—could soon include XRP promos if trends hold.
Legal and Regulatory Implications
The SEC’s retreat has broader stakes. The 2023 ruling already weakened its securities argument, and this drop could deter future cases against altcoins. Trump’s Executive Order might codify this, pushing oversight to agencies like the CFTC, which favors lighter rules. For iGaming, this clarity could ease compliance fears, especially as the EU mulls stricter crypto KYC rules.
However, risks linger. If the SEC appeals—or Trump’s order faces legal challenges—XRP’s status could wobble again. For now, the crypto community celebrates a rare victory.
Opportunities in XRP iGaming
For iGaming, XRP’s resurgence is a boon. Its speed and cost edge over Bitcoin ($98K, slower fees) or Ethereum ($3,800, $1–$3 fees) make it a player favorite. A 2023 Bitcasino survey found 15% of crypto gamblers prefer XRP for speed—expect that to rise with legal clarity.
The SEC dropping its case against XRP closes a contentious chapter. Tied to Trump’s EO, this shift frees XRP, now $2.45 and climbing, from regulatory shackles. For iGaming, it’s a green light: XRP’s speed and cost advantages, already boosting platforms like SOFTSWISS, could reshape online gambling.
iGaming enthusiast and writer. I enjoy playing and testing new slots as well as working with many developers in the casino software industry. My new passion includes covering the endless innovation of crypto for iGaming its benefits for both players and casinos.
