FOX Business Analyst Suggests SEC Could Drop Ripple Case Amid Ruling Backlash

• Charles Gasparino predicts that the ripple lawsuit settlement could come under the next U.S. administration, under the leadership of the next SEC Chair, Paul Atkins.
• This could lead to a reassessment of the SEC’s approach to the case, particularly regarding programmatic XRP sales.

Senior correspondent of FOX Business, Charles Gasparino, has openly condemned the move taken by the U.S. Securities and Exchange Commission (SEC) against Ripple. He even speculated how it would shape the XRP lawsuit’s future.

Charles Gasparino’s Take On SEC’s Move Against Ripple

In an interview on the POMP Podcast, Gasparino said that the SEC’s legal actions were a bit excessive. He noted that unclear regulations in the U.S. crypto industry triggered the lawsuit and pushed Ripple’s technological advancements into foreign markets rather than the U.S.

Gasparino also targeted Judge Analisa Torres’s ruling in the case, which he described as “idiotic.” The judge divided Ripple’s XRP sales into three categories: institutional sales, programmatic sales, and other distributions. Her decision held that Ripple violated securities laws with respect to the sales of XRP to institutional clients. She ruled that the programmatic sales and other distributions were not investment contracts.

This sets a precedent in which the institutional investor receives greater transparency than retail, Gasparino says. In his argument, he asserts that such distinction subverts the U.S. protection of the small investor. Moreover, the correspondent believes that the decision regarding the Ripple case could be somewhat altered when President-elect Donald Trump enters the White House, as reported by CNF. 

He spotlighted the possible appointment of Paul Atkins, an outspoken crypto advocate, by Trump as SEC Chair. Gasparino discussed how this might change the agency’s approach toward such cases. According to Gasparino, this change might lead to the withdrawal of appeals lodged by the SEC or a reassessment of their view on the programmatic sales decision.

Meanwhile, it’s important to note that the case is proceeding to the Second Circuit Court of Appeals. The date for the appellate brief from the SEC is nearing. The January 15th deadline may work against the case if not met, and Ripple might respond with a counterargument following the submission from the SEC.

Stern Backlash Over Gasparino’s Comments

Gasparino’s remarks have created a backlash within the crypto community. Critics include Tony Edward, host of the Thinking Crypto podcast, who alleged bias on Gasparino’s part, as his criticism of Judge Torres’s ruling is thought to be more of a want to see Ripple lose the case.

Pro-XRP lawyer Bill Morgan weighed in, criticizing Gasparino’s interpretation of the judge’s ruling. He clarified that the judge addressed only programmatic XRP sales and not broader secondary market transactions. Despite the criticism, Gasparino has denied bias, asserting that his reporting on the Ripple case remains impartial and objective.

Crypto market analysts are hopeful the XRP lawsuit settlement could lead to a strong surge in the XRP price to double-digits of $10 and above, per the CNF report. The Ripple cryptocurrency has started 2025 on a strong note, with 15% gains in the last 24 hours amid the broader market rally.