Ripple (XRP) Price Jumps as Community Anticipates Dismissal of SEC Lawsuit

Ripple XRP price jumped to £2.64 ($3.25) at 2:50 p.m. ET on 22nd January as community sentiment remained bullish on a potential dismissal of the years-long legal battle with the US Securities and Exchange Commission (SEC) as the agency prepares for a closed meeting at 2 p.m. on 23rd January.

The price of Ripple's XRP token soared to £2.64 ($3.25) at 2:50 p.m. ET on 22nd January amid rising optimism within the XRP community. This comes as the U.S. Securities and Exchange Commission (SEC) prepares for a closed meeting at 2 p.m. on 23rd January, sparking speculation that the years-long legal battle between Ripple and the SEC might be nearing a resolution.

The SEC announced that the closed meeting will cover settling injunctive actions and administrative proceedings, resolving litigation claims, and addressing matters related to enforcement proceedings.

In 2020, the SEC filed a lawsuit against Ripple, alleging that the company had offered XRP as an unregistered security to raise funds from investors, thereby skirting the required approval channels.

The lawsuit against Ripple is one of 83 crypto-related enforcement actions initiated under former SEC Chair Gary Gensler, who frequently locked horns with Wall Street and crypto firms, alleging that many were involved in market manipulation and fraud.

First SEC Meeting Under Pro-Crypto Officials

This SEC meeting will be the first under pro-crypto SEC acting chair Mark Uyeda. Earlier this crypto task force to overhaul crypto regulations, particularly regarding when and how a cryptocurrency can be classified as a security. Uyeda has been pushing the SEC to change its enforcement policies for cryptocurrencies.

In November 2024, Uyeda stated: "The Commission's war on crypto must end, including crypto enforcement actions solely based on a failure to register with no allegation of fraud or harm. President Trump and the American electorate have sent a clear message. Starting in 2025, the SEC's role is to carry out that mandate."

The SEC will reportedly review pending crypto-related litigations in the first days of the Trump Administration and could settle cases that aren't involved in fraud.

Ex-SEC Lawyer Says Ripple Settlement Could Be Weeks Away

Meanwhile, Marc Fagel, an ex-securities lawyer, posted on X, formerly Twitter, that the Ripple settlement might not happen until Paul Atkins, a pro-crypto official, is appointed as the SEC Chair.

"At some point perhaps (though more likely to happen after Atkins' appointment as Chair). But not at this week's meeting," Fagel wrote. "This is the same meeting they hold nearly every week. They will vote on recommendations calendared weeks ago. Those expecting something monumental to happen are about to be disappointed."

FoxBusiness journalist Eleanor Terrett also shared her thoughts on Fagel's post in the comments section.

Separately, crypto expert John Deaton stated during the Good Morning Crypto Show that Uyeda and Atkins could be pushing for the dismissal of the lawsuit.