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On August 8, the legal battle between the U.S. Securities and Exchange Commission (SEC) and Ripple Labs officially came to an end after four years. The parties submitted a joint statement to the Second Circuit Court of Appeals on Thursday, announcing their voluntary withdrawal of the appeal against the first-instance judgment from July 2023.
According to reports, both parties will bear their own litigation costs and uphold the original ruling of the local court by Judge Analisa Torres, namely:
· Selling XRP to institutional investors by Ripple constitutes a violation of securities law.
· Fined 125 million dollars
· Issue a permanent ban to prohibit future violations.
Previously, in 2020, the SEC, during the tenure of former chairman Jay Clayton (currently the U.S. Attorney for the Southern District of New York), sued XRP, accusing it of violating securities laws by selling XRP tokens.