Donald Trump’s victory in the US Presidential race has given the crypto industry major hope for a clear and discriminating regulatory approach. Crypto lawyer Fred Rispoli sees Trump’s win as game-changing for Ripple’s legal battle with the commission.
The crypto sector’s heavy investment in the 2024 election appears to be paying off, paving the way for the end of Gary Gensler’s reign as SEC Chair. With the President-elect aware of the case, upcoming SEC changes could bring a faster resolution than initially expected, he suggests.
Ripple case could wrap sooner
Rispoli in an X post laid out two scenarios, the first is where the watchdog might rush a deal to lock in their partial win, or the new leadership. It is expected to happen in early 2025 with a settlement for less, possibly reducing the $125 million fine.
He added that, in either case, a drawn-out timeline until 2026 now looks unlikely. The XRP community could finally see the end of this legal saga, possibly by spring 2025.
Ripple CEO Brad Garlinghouse also weighed in on what the Trump administration could mean for crypto. However, he also commended the XRP community for its patience and fighting spirit. XRP price has been stagnant due to the long running legal battle.
Garlinghouse recalled the lengthy battle since the SEC’s initial interference six years ago. He reflected on the agency’s “unnatural and manipulative” approach to crypto regulation. Ripple’s optimism is rooted in the belief that the new administration will bring relief to the crypto industry, creating space for XRP.
I’ve shared some thoughts on what the Trump administration could mean for crypto and wanted to also recognize the XRP family’s patience and unwavering support.
A lot has happened since XRP was the 2nd most valuable digital asset. It’s been – at times – a frustrating journey.~6…
— Brad Garlinghouse (@bgarlinghouse) November 7, 2024
XRP price is down by over 10% on the year to date basis, while other major cryptos like Bitcoin (BTC) and Solana (SOL) jumped by 79% and 96%, respectively. XRP is trading at an average price of $0.55, at press time. It is already down by 85% from its all time high of $3.84, recorded on January 4, 2018.
If the SEC decides to finalize the current deal soon, XRP might still face penalties but could avoid protracted litigation. This outcome would lead the industry towards more regulatory clarity.
SEC’s crypto war under Gensler
The crypto industry is celebrating what may be its biggest win against Gary Gensler’s regime. The SEC chair’s aggressive crackdown will likely ease under Trump’s government. Gensler has led the most forceful campaign yet against digital assets linked companies.
Gensler has ramped up cases filing 46 crypto-related actions last fiscal year which is a 50% jump over the previous year. He has targeted giants like Coinbase, Binance, and DRW Holdings. The commission has seen success in cases that treat digital assets under decades-old securities laws. It has netted big wins like Terraform Labs’ $4.5 billion fine and penalties against top industry players.
Cryptopolitan Academy: Coming Soon - A New Way to Earn Passive Income with DeFi in 2025. Learn More
