A lawyer has offered insights on the upcoming court ruling from the U.S. Securities and Exchange Commission (SEC) in its lawsuit against Ripple. As the case nears conclusion, the lawyer discussed how potential outcomes could affect Ripple's reputation and digital asset operations in the U.S.

Impending SEC Judgments for Ripple

Fred Rispoli, founder of HODL law, recently appeared on the Thinking Crypto podcast with Tony Edward. Rispoli confirmed that Ripple will likely face fines for institutional sales of XRP but suggested these fines would be less than the initial $2 billion demanded by the SEC. He predicted a penalty under $25 million, emphasizing that the key issue would be the terms of any injunction imposed on Ripple, which could significantly impact its future operations.

Rispoli mentioned that the SEC seeks a broad injunction to limit Ripple’s activities involving unregistered securities transactions. He also noted that the judge is unlikely to consider new cases without litigation and that the SEC would have 60 days to file an appeal after the judgment is confirmed.

Future Implications of the Legal Battle

Rispoli indicated that if the lawsuit's outcome is unfavorable, Ripple might relocate its operations outside the U.S., which would negatively impact the U.S. economy given Ripple’s role as a leading crypto payments company. Additionally, Ripple's plans for an Initial Public Offering (IPO) and the launch of a stablecoin could be delayed or viewed as securities by the SEC, complicating their future endeavors.