The court ruling in Ripple's dispute with the U.S. Securities and Exchange Commission on July 13, 2023, heavily relied on testimonies from nearly 4,000 XRP holders, according to attorney John Deaton.
Deaton acted as amicus curiae, representing these holders and providing their sworn statements. He revealed that Judge Analisa Torres cited these affidavits among only a few exhibits in her final judgment.
The ruling determined XRP itself is not a security, although Ripple's $728.9 million institutional sales violated securities laws. The company settled with a $125 million fine in 2024, and the case formally ended in August 2025 when appeals were dropped.
Ripple CEO Brad Garlinghouse previously revealed the company nearly ceased operations rather than face the SEC in court. This context shows the stakes for retail XRP holders whose voices contributed to the outcome.
Judge Torres' decision referenced Deaton's amicus brief and his courtroom communications from a related SEC case involving LBRY. Deaton emphasized that XRP is simply computer code, which alone cannot be classified as a security under the Howey test originating from a 1946 Supreme Court case about Florida orange groves.
Ripple's Chief Legal Officer Stuart Alderoty marked the third anniversary of the decision with an online celebration calling July 13 "XRP IS NOT A SECURITY DAY." Meanwhile, XRP traded around $1.08, down approximately 3% over 24 hours per BeInCrypto Markets data.
The ruling continues influencing U.S. cryptocurrency regulations as Congress debates market structure reforms. The case illustrates how ordinary token holders can impact significant legal battles.
This information is provided for informational purposes and is not financial advice.
