Ripple (CRYPTO: XRP) May Have Cleared a Major Legal Hurdle, but Industry Experts Are Divided on Whether XRP Is Positioned to Benefit from the Recent Stablecoin Rally.

Ripple (CRYPTO: XRP) may have cleared a major legal hurdle, but industry experts are divided on whether XRP is positioned to benefit from the recent stablecoin rally.

The judge presiding over the case has approved a revised $50 million penalty for Ripple Labs (NYSE:PYPL) in its case with the SEC, according to a report by Benzinga.

The SEC had previously set the penalty at $125 million.

This development comes amid a recent surge in stablecoin usage, sparking discussion among industry experts on whether XRP is poised to benefit from the rally.

What Happened: After a six-year legal battle, Ripple Labs is set to settle its case with the SEC. The agency will return $75 million to the crypto firm, pending final court and commissioner approval.

The SEC sued Ripple in 2018, claiming that the company raised $7.14 billion through an unregistered securities offering by selling XRP to institutional and retail investors.

The case went to trial in April 2023, and the judge ruled in favor of the SEC on some counts but also made rulings that could benefit Ripple.

What Experts Are Saying: The regulatory clarity may pave the way for future XRP-based exchange-traded products (ETPs), according to industry experts.

Nicolai Søndergaard, a research analyst at blockchain analytics firm Nansen, said: "I think there is a higher chance of success for XRP futures or spot ETFs now."

Patrick Young, Head of GTM at Web3 platform Galxe, agreed, adding that the news is "incredibly positive for the broader crypto ecosystem."

"It will bring much-needed clarity and hopefully encourage more efficient cooperation between Web3 and government agencies in the future," Young said.

However, despite the recent stablecoin rally, one expert isn't convinced that XRP will benefit directly.

"I don't think we'll see any direct impact on XRP from the stablecoin rally," said Daniel Tirman, an analyst at cryptocurrency research firm TipRanks.

"Stablecoins are a hot topic right now, but I think it's more about the broader defi ecosystem and the role that stablecoins play in that."