After reconciling in 2025, Ripple Labs and the Securities and Exchange Commission filed a joint motion with the U.S. District Court for the Southern District of New York requesting an “indicative ruling”, a legal request asking the court if it would reconsider its 2023 ruling.
Ripple aimed to dissolve the existing injunction that prevents the crypto firm from selling XRP to institutional investors, as well as reduce the hefty $200 million fine it received for those sales. The SEC, now under Atkins administration, aligned with Ripple and appeared willing to resolve the matter withough escalating it through appeal procedures.
However, Judge Analisa Torres – the same judge who ruled XRP was not a security in 2023 – decided that the court would not revisit its decision: “The judgment of a court is “not merely the property of private litigants,” Judge Torres wrote in a clear jab to the parties’ attempt to quietly revise the case’s outcome through private agreement.
The Judge also cited the SEC’s previous arguments that direct contradict the Comission’s present stance.
“The Agency made clear that the public has a right to ‘full and fair disclosure of information…in the sales of securities,’ and explained why a penalty and injunction against Ripple would protect that interest.”
She noted that the SEC had once insisted a strong penalty was needed to deter Ripple and similar firms from bypassing securities laws—and that nothing material had changed to justify backtracking now. Even the Commission’s own March filings warned that allowing companies to skirt registration requirements could “jeopardize the legal structure underpinning financial markets.”
In short, the court found no basis to revisit the decision. With the motion denied, the original judgment remains in place, including the $200 million penalty and the ongoing injunction against Ripple’s institutional sales.
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