In December 2020, XRP faced a severe crisis when the SEC's lawsuit claimed Ripple Labs had sold $1.3 billion in unregistered securities, causing a 62% crash in XRP's value. By August 2025, the litigation ended with a significant legal victory: XRP is now definitively classified as not a security when sold on exchanges. This ruling, part of a series of legal victories for Ripple, has given XRP a unique position of regulatory clarity that competitors lack, solidifying its status as a cryptocurrency. A passionate community, now organized by key figures like attorney John Deaton, rallied throughout the lawsuit, which strengthened their commitment. The successful conclusion of the lawsuit enables Ripple to focus on expansion and innovation without legal distractions, as XRP’s market capital has soared since the ruling. With definitive legal clarity, Ripple is positioned for future growth in global markets and technological advancements, marking a dramatic turnaround from its troubled past.

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