Court Rejects Ripple-SEC Settlement, XRP Plunges 6%  

TradingKey – A U.S. judge's rejection of the proposed Ripple-SEC deal has cast uncertainty over the case, triggering a 6% drop in XRP's price.  

On Thursday (May 15), Ripple (XRP) faced sudden selling pressure, with its token tumbling over 6% before partially recovering to $2.42 at press time.  

XRP Price Chart, Source: TradingView.

The sell-off followed U.S. District Judge Analisa Torres rejecting the May 8 settlement proposal jointly filed by Ripple and the SEC, citing non-compliance with Rule 60 of the Federal Rules of Civil Procedure.  

The rejected agreement sought to:  

- Lift an August 2024 injunction  

- Release $125 million in escrowed civil penalties:  

  - $50 million to the SEC  

  - $75 million returned to Ripple  

Ripple CLO Stuart Alderoty responded:  "This procedural ruling doesn’t alter Ripple’s path to ultimate victory. Both parties remain committed to resolving this case and will revisit terms with the court."