XRP as Settlement? Ripple Might Pay SEC Fine in Its Own Token

In Brief:

Ripple may settle its $50M penalty using XRP instead of dollars.

Settlement talks are nearly complete after both parties dropped their appeals.

‍

Ripple’s years-long legal battle with the US Securities and Exchange Commission could soon come to a close, and with a surprising twist — the $50 million penalty might be paid in XRP.

Ripple CEO Brad Garlinghouse revealed in a FOX Business interview that offering XRP instead of cash was floated during the final stages of settlement negotiations.

‍

“The SEC is going to end up with $50 million and we talked about making that available in XRP,”

he said.

The original fine was set at $125 million by Judge Analisa Torres in 2024. Ripple complied by parking the amount in an interest-bearing account while pursuing appeals. But with both sides now dropping further legal action, the fine has been reduced to $50 million.

A joint court filing confirms a preliminary agreement is in place. The SEC and Ripple are now waiting for final approval from the Commission, after which they’ll ask the district court for a ruling to formalize the resolution.

This could mark the first time a regulatory fine is paid using a digital asset — potentially signaling a shift in how the SEC treats crypto assets moving forward.

Garlinghouse also signaled what’s next:

“We’re moving past the SEC’s war on crypto and entering the next phase of the market — true institutional flows integrating with decentralized finance.”

Since Trump’s election win in late 2024, XRP has surged over 300%, with rising institutional interest and a more crypto-friendly climate in Washington. Analysts say a settlement, especially one involving XRP itself, could unlock new bullish momentum and possibly strengthen the case for reclassifying XRP as a commodity.

‍