Certain Class Action Claims in a Lawsuit Against Ripple and Its Chief Brad Garlinghouse Are Moving to Final Judgement

Certain class action claims in a lawsuit against Ripple and its chief Brad Garlinghouse are moving to final judgment, in a development that could be impactful in the crypto firm's ongoing legal battle with the Securities and Exchange Commission (SEC).

On Thursday, Judge Phyllis Hamilton granted a motion for final judgment on settled class claims and ordered remaining unsettled claims to be stayed. The decision effectively shortens the timeline for the class action lawsuit and sets the stage for a trial to begin on January 21, 2025.

The class action lawsuit, filed in 2023, alleges that Ripple sold XRP for over six years without registering the token with the SEC, in violation of federal and California securities law.

Final judgment in the class action case could also have implications for a separate lawsuit filed by the SEC in 2020. A favorable ruling for Ripple in the class action case may strengthen its arguments against the SEC's claims in its own lawsuit.

Meanwhile, Donald Trump's bid for presidency has sparked speculation that the case could be settled or dismissed altogether.

Trump has pledged to fire SEC Chair Gary Gensler if he were to return to office. The former president has also expressed support for cryptocurrencies and Web3 technologies.

Since Trump became president-elect, Ripple's token XRP has seen a surge in price, rising from $0.50 to $0.80. The price increase comes amid speculation over Gensler's potential departure and a lawsuit filed by 18 U.S. states against the SEC, alleging that the regulator has overreached in its enforcement against crypto firms and hindered the states' regulatory authority.