A federal judge of the Southern District of New York has ordered Ripple to pay a $125 million penalty after finding that the blockchain giant violated securities laws. Notably, this fine is way below the $1 billion disgorgement and prejudgment sought by the SEC.
This marks a major milestone in the long-running court case between the two entities. Interestingly, the XRP community saw this as positive news and the price of XRP skyrocketed over 25% following the ruling. It is important to note that Judge Torres previously ruled in 2023 that the programmatic sales of XRP to retail clients do not violate securities laws.
Ripple to Pay $125 Million in Civil Penalty
District Judge Analisa Torres has ruled that Ripple broke securities laws through 1,278 institutional sales of XRP coins. As a result, the blockchain firm has been ordered to pay a fine of $125,035,150 ($125.035 million). Additionally, Judge Torres banned Ripple from violating federal securities law in the future. She noted that even though she hadn’t said that Ripple broke any laws following the SEC lawsuit, the company might “cross the line.”
Less than 10 minutes after the ruling, the price of the coin skyrocketed by 23.5% to trade at $0.6307.
The post "Breaking: Judge Torres Fines Ripple $125 Million, Forbids Future Securities Law Violations" first appeared on 36crypto.com News.
