As the long-standing lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC) approaches its final stages, an attorney has shed light on the potential outcomes and implications of the impending court judgment.

Fred Rispoli, the founder of HODL law, recently appeared on the Thinking Crypto podcast hosted by Tony Edward. Rispoli confirmed that Ripple will likely face a penalty for selling XRP to institutional investors, but the fine is expected to be significantly lower than the SEC's initial $2 billion demand. He predicted the judgment will likely be under $25 million, accompanied by a penalty rather than disgorgement.

However, Rispoli emphasized that the most crucial aspect of the judgment will be the injunction terms and potential restrictions placed on Ripple's future operations and financial interests. The SEC has expressed a desire for a "broad sweeping injunction" to limit Ripple's ability to engage in activities that could be interpreted as unregistered securities transactions.

If the outcome of the lawsuit proves detrimental to Ripple, the company may be forced to shift its operations outside the U.S., which Rispoli believes would be a significant blow to the American economy. Additionally, the lawsuit could hinder or delay Ripple's plans for an Initial Public Offering (IPO) and potentially impact the launch of any future stablecoins, which the SEC may view as securities given its anti-crypto stance.

As the legal battle nears its conclusion, Ripple and the crypto community await the court's decision, which will undoubtedly shape the future of the company and have far-reaching implications for the broader digital asset industry.