XRP Lawsuit Update: Ripple Paid $125M in Cash, Settlement Hinges on Appeal

The XRP lawsuit has taken a significant turn, with the focus shifting to Ripple’s $125 million penalty. While there’s growing speculation that the payment would be made in XRP, former SEC lawyer Marc Fagel contradicts this, stating that Ripple had already paid the fine in cash. Then, what’s keeping the Ripple vs XRP case unresolved?

Advertisement Advertisement

Ripple’s $125M Penalty Debate: Cash or XRP?

Setting aside the SEC’s possible appeal withdrawal, recent attention has turned to a new development in the Ripple vs SEC case—$125M penalty. Despite growing rumors that Ripple would pay its fine in XRP, Marc Fagel asserts that the payment has already been made in cash.

In an X post, Fagel posited that “as someone intimately familiar with SEC procedures,” he knows that Ripple’s $125 million payment was indeed made in cash. He wrote, “They already paid in cash. Sorry.” Fagel added,

I’m stating facts. There’s a court order that they pay cash into escrow. But you can imagine anything you’d like.

In addition, Fagel stated that neither Judge Torres nor the SEC is holding up the Ripple case, with the lawsuit progressing smoothly. According to him, the SEC’s dismissal process follows standard procedures, expected to take 1-2 months after a vote.

Advertisement Advertisement

Appeal Dismissal Key to Ripple vs SEC Case End, Says Lawyer

Further, Fagel stated that the XRP lawsuit settlement is primarily dependent on both parties’ appeal dismissal. Although neither Ripple nor the SEC has officially withdrawn its appeal, Fagel believes they will do so within two months.

Reiterating his claim that Ripple has already fulfilled their $125 million obligation, Fagel asserted that the settlement hinges on the appeal. Despite the payment, the case could see its final resolution only when both parties officially drop their appeals, stated Fagel. His X post read,

Because then money is sitting in escrow pending appeal, per the same order. Once the parties dismiss their appeals, as appears will happen soon, that order goes into effect and the money goes to the SEC.

Advertisement Advertisement

Will the US Tap XRP Escrow for National Reserves?

Interestingly, rumors of Ripple paying its penalty in XRP coincide with speculation about the US using XRP escrow for national reserves. Recently, multiple sources suggested that the US government would seize the XRP escrow to expand the crypto reserve. However, as CoinGape reported, lawyer Bill Morgan dismissed these rumors, citing, “No, it won’t.”

While the idea of the US government leveraging XRP escrow for national reserves has sparked intense debate, experts remain divided on the matter. However, as per Marc Fagel’s statement, one thing is clear—Ripple’s fine won’t be paid in XRP, ruling out its potential use for national reserves

Advertisement

✓ Share: