The ongoing saga involving the US Securities and Exchange Commission (SEC) and Ripple Labs has intensified, with recent speculation about the potential delays in the case now echoing throughout the cryptocurrency community. A claim from the anonymous trader “Altcoin Bale” suggested that a final verdict in the SEC v XRP case might not arrive until late 2026, stirring debate among crypto enthusiasts and investors alike.
In a rapid response, Australian attorney and XRP expert Bill Morgan refuted this assertion, emphasizing that such a prolonged timeline is unlikely. He highlighted that unless Judge Analisa Torres rules against a joint motion recently filed, the process should proceed without extensive delays. Morgan expressed confidence that a common-sense resolution could pave the way for a quicker conclusion rather than a protracted legal battle.
Understanding the XRP Lawsuit: The Case for 2026 Being Unlikely
Morgan’s assurance derives from key procedural facts surrounding the case. On June 13, Ripple Labs and the SEC jointly filed a motion under Rule 60(b)/62.1, requesting that Judge Torres dissolve last year’s injunction and redistribute the notable $125 million civil penalty currently held in escrow. Their proposal indicates that $50 million would meet the SEC’s demands, while the remaining $75 million would be returned to Ripple Labs.
Furthermore, the motion suggests that if Judge Torres indicates a favorable outcome, both parties would seek a limited remand from the Second Circuit. This move would allow the district court to finalize a judgment and potentially terminate all ongoing appeals. Interestingly, the Second Circuit has already placed a halt on the appeals process, requesting an administrative status report from the SEC by August 15, 2025. This date, while crucial, does not imply that a final decision will stretch into 2026.
In July 2023, Judge Torres issued a summary judgment, categorizing XRP’s institutional sales as unregistered securities while declaring programmatic sales as exempt. Following the related remedies briefing, she imposed a $125 million penalty alongside a permanent injunction in August 2024. While appeals were filed by both sides, the SEC notably withdrew its challenge concerning the programmatic sales ruling in March 2025, indicating a softening stance towards stringent crypto regulations. This led to renewed discussions on settlement, resulting in the current motion.
The latest request builds on an earlier motion that was turned down by Torres due to procedural issues. The new filing articulates “exceptional circumstances” such as the SEC’s policy adjustments and a collective desire to conclude the litigation that courts require for modifying a final judgment. Should Judge Torres provide the indicated ruling sought by the motion, the case could be rapidly resolved without extensive appellate arguments.
While Morgan admits that a complete failure to reach a settlement isn’t entirely out of the question, he considers it unlikely. Should the joint motion be denied, both parties would likely reignite their appeals, potentially leading to a delay that could stretch into late 2026. However, this scenario remains what he describes as an improbable outcome.
As of now, XRP is trading at approximately $1.99, showing resilience amid the legal storm and ongoing market fluctuations.
