The Digital Chamber (TDC) welcomes the conclusion of the long-standing legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC). As amicus curiae in this case, TDC advocated for regulatory clarity for digital asset businesses.
Judge Torres has issued her ruling on remedies in the Ripple case with the following outcomes:
- $0 disgorgement, as anticipated, due to the lack of demonstrated losses by the SEC.
- $125 million in civil penalties for securities violations related to sales to institutions.
- An injunction restraining Ripple from further violations of Section 5 of the Securities Act.
This decision represents a small fraction of the damages initially sought by the SEC and highlights the flaws in the SEC’s regulation by enforcement approach. While this ruling brings some clarity to the market, it underscores the urgent need for Congress to pass comprehensive market structure legislation.
We commend our member Ripple for fighting on behalf of the industry in court, setting a precedent that many smaller players could not, and helping to create a more coherent and predictable regulatory environment.
For more information, please contact: press@digitalchamber.org