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US District Judge Analisa Torres has denied the Ripple–SEC joint motion seeking an early resolution, maintaining the ongoing legal battle over XRP sales and penalties.
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The ruling preserves restrictions on institutional XRP sales and upholds the original penalty amount, leaving the case’s future uncertain.
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According to COINOTAG sources, the next significant court update is expected by August 15, when the SEC must inform the court of its intended next steps.
Judge Torres denies Ripple-SEC joint motion, keeping XRP institutional sales restricted and penalties intact; next court update due August 15, 2025.
Judge Torres Blocks Early Resolution in Ripple-SEC XRP Case
On June 26, 2025, US District Judge Analisa Torres issued a decisive ruling rejecting the joint motion filed by Ripple Labs and the Securities and Exchange Commission (SEC) that sought an “indicative ruling” to end the protracted legal dispute prematurely. This motion aimed to dissolve the existing injunction against Ripple and significantly reduce the penalties imposed on the company. However, Judge Torres’ denial effectively maintains the status quo, ensuring that Ripple remains barred from selling XRP to institutional investors while the original penalty—potentially nearing $200 million—remains in place.
Implications for Institutional XRP Sales and Penalties
The court’s decision has immediate consequences for Ripple’s business operations, particularly regarding institutional sales of XRP. The ruling preserves the injunction that restricts Ripple from engaging with institutional buyers, a key point of contention in the lawsuit. Additionally, the penalty amount determined in the 2023 summary judgment remains intact, signaling that the SEC’s claims regarding the magnitude of the fine are still recognized by the court. This outcome underscores the ongoing regulatory scrutiny facing Ripple and highlights the challenges the company must navigate to resume full market participation.
Upcoming Court Dates and Potential Legal Trajectory
Looking ahead, the next critical milestone in the case is August 15, 2025, when the SEC is required to file a status report with the court detailing its planned course of action. Ripple may respond or submit new motions before this deadline, but the denial of the joint motion suggests that both parties remain far from a negotiated settlement. Should no agreement be reached, the case is likely to proceed to the Second Circuit Court of Appeals, potentially extending the litigation well into late 2025 or beyond. This prolonged timeline reflects the complex legal and regulatory environment surrounding cryptocurrency enforcement actions.
Background: The 2023 Summary Judgment and Its Impact
The foundational ruling from July 2023 continues to influence the case’s dynamics. That judgment differentiated between Ripple’s programmatic XRP sales on exchanges—which were deemed not to constitute securities transactions—and sales made directly to institutional investors, which were classified as securities offerings. This distinction has shaped the regulatory framework applied to XRP and remains central to the ongoing dispute. The current injunction and penalties stem directly from this legal interpretation, emphasizing the nuanced regulatory challenges facing digital asset issuers.
Conclusion
Judge Torres’ refusal to grant an early resolution in the Ripple-SEC lawsuit maintains significant restrictions on XRP’s institutional sales and leaves the penalty unresolved. With the next court update scheduled for August 15, the case remains in a state of legal uncertainty, underscoring the complexities of cryptocurrency regulation in the United States. Market participants and observers should monitor forthcoming developments closely, as the outcome will have lasting implications for Ripple, XRP holders, and the broader digital asset ecosystem.
