Ripple CLO Breaks Silence After SEC Motion Dismissal

Ripple’s Chief Legal Officer, Stuart Alderoty, broke his silence following a recent court decision that rejected a joint request by Ripple Labs and the U.S. Securities and Exchange Commission (SEC).  On May 15, 2025, U.S. District Judge Analisa Torres denied the parties’ motion for an indicative ruling, calling it “procedurally improper.” 

https://x.com/s_alderoty/status/1923087253036757209

Despite the rejection, Alderoty reassured the crypto community that “Nothing in today’s order changes Ripple’s wins (i.e. XRP is not a security, etc).” He emphasized that the ruling was not about the case’s outcome but about technical legal steps related to Ripple’s cross-appeal.

The denied motion had sought to reduce Ripple’s $125 million civil penalty to $50 million and lift certain restrictions from the August 2024 judgment. Ripple and the SEC had come together to request this relief, describing the agreement as “fair and reasonable.” 

The judge, however, dismissed it for not following the correct legal process. She pointed to Rule 60, which requires a showing of “exceptional circumstances.” Alderoty addressed this directly by highlighting that the court’s decision was based on “procedural concerns.” His comment suggested that Ripple’s core legal victories still stand, especially the court’s earlier decision that XRP itself is not a security.

Alderoty’s statement continued, “Ripple and the SEC are fully in agreement to resolve this case and will revisit this issue with the Court, together.” The comment on his tweet was filled with a mix of relief and hope that the case could really soon reach a conclusion. 

One user, @BenBrow6339329 6, responded “There just dragging it out. Every month they say it’s over, then they say it’s all over but this little thing. It’s the same every month.”

Another @Crypto_0wl, voiced frustration over the procedural misstep: “How did you guys screw this up?? You fight for 5 years and spend a few hundred million dollars and get denied due to improper procedure!!”

Following the news, XRP price dropped 4.68% to 2.44. Looking at the chart via TradingView, the price was rejected after tapping a resistance zone at $2.55. Right now, XRP is trading downwards to test a support zone at $2.23.