The protracted legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) inflicted damage on XRP that transcended mere price depreciation, argues a prominent voice in the XRP community known as “All Things XRP.” The commentator contends that the lawsuit, which commenced in December 2020, not only triggered a dramatic price collapse but also robbed the XRP project of crucial years of development, groundbreaking innovation, and vital investor enthusiasm.

The SEC’s initial lawsuit sent shockwaves through the XRP market. Within days, the cryptocurrency’s value plummeted by a staggering 73%, from $0.65 to a meager $0.17. This nosedive was exacerbated by the subsequent delisting of XRP from major U.S. exchanges, effectively isolating American investors and severely curtailing market liquidity.

Stuck in Limbo During Crypto Boom

While the broader cryptocurrency sphere experienced a significant bull market in 2021, with rivals like Bitcoin, Ethereum, and Solana soaring to new peaks, XRP languished, largely confined to a trading range between $0.30 and $0.50. The commentator posits that the ongoing legal quagmire fostered a climate of uncertainty, deterring both retail investors seeking quick gains and institutional players wary of regulatory risks. Although XRP did witness some upward movement in 2021, reaching $1.96 in April, it lacked the sustained momentum to surpass previous market highs, a feat achieved by many of its competitors. This stagnation, according to community analysts, was not attributable to technological shortcomings or a lack of practical applications, but rather a direct consequence of the unresolved legal status and the associated reputational damage.

A brief ray of hope emerged in July 2023 when Judge Analisa Torres delivered a pivotal ruling, stating that XRP itself is not a security and that Ripple’s programmatic sales did not constitute securities transactions. This legal clarity fueled a rapid price surge, with XRP doubling in value overnight. The reinstatement of XRP listings on previously delisting U.S. exchanges further fueled this optimism. However, the SEC’s subsequent decision to appeal this ruling reignited market apprehension, effectively capping further significant gains.

The resignation of SEC Chairman Gary Gensler in November 2024 briefly propelled XRP above $3, seemingly erasing years of losses. Yet, this rally proved short-lived, with XRP settling back into the $2 range. Notably, the SEC’s eventual dismissal of the case against Ripple in March 2025 elicited a surprisingly muted market response. “No fireworks. No moon,” observed “All Things XRP,” suggesting a deeper, more lasting impact.

Beyond Price: The Cost of Lost Time

While XRP’s price has recovered significantly from its post-lawsuit lows, many in the community believe its valuation should be considerably higher absent the legal battle. However, “All Things XRP” argues that the true cost lies not just in lost price appreciation, but in the irretrievable loss of time. Ripple’s ambitions to revolutionize cross-border payments were significantly hampered as financial institutions, particularly in the U.S., hesitated to forge partnerships amidst the regulatory uncertainty. This period of stagnation allowed competitors like Solana and Chainlink to gain significant traction and market share.

“All Things XRP” emphasizes that the SEC’s actions against XRP weren’t just a temporary financial setback; they represented a five-year delay in progress, eroded market momentum, and damaged crucial trust. Now, with the legal cloud finally lifted, XRP faces a new challenge: overcoming market apathy. The community is weary, and the markets are cautious. Even positive developments like potential ETF filings and new stablecoin integrations are met with a measured response. The commentator concludes with a call to the community to rebuild the lost enthusiasm, expressing confidence that XRP can still achieve significant future success, albeit after enduring a profound and costly delay.