On June 26, 2025, US District Judge Analisa Torres denied a joint motion from Ripple and the SEC aimed at dissolving the injunction against Ripple and reducing its $125 million penalty.

This ruling marks the second failed attempt by both parties to convince the court to modify the permanent injunction, with their previous request also rejected due to insufficient justification.

The court determined that the parties did not meet the stringent requirements necessary to alter a final judgment, as outlined by the Federal Rules of Civil Procedure.

Judge Torres previously ruled that while some of Ripple's sales did not violate securities laws, direct sales to institutional investors did, leading to the imposed fine.

The judge emphasized that the permanent injunction was necessary due to Ripple's significant violations of federal securities laws, which had resulted in substantial financial gains for the company.

In her ruling, Torres criticized the parties for claiming it was in the public interest to modify the injunction, stating that 'none of this has changed'.

She dismissed the argument that a change in SEC policy or the formation of a new crypto task force warranted the removal of the penalty, asserting that such changes did not constitute exceptional circumstances.

Despite a shift in SEC leadership towards a more crypto-friendly approach, Torres highlighted the agency's responsibility to maintain credibility during ongoing litigation.

This ruling serves broader regulatory objectives aimed at protecting investors, maintaining market integrity, and ensuring compliance within the crypto industry.

Following this ruling, the SEC is required to file a status report by mid-August 2025, outlining its next steps, after which Ripple may respond or file a new motion.

The outcome of Ripple's next steps could significantly impact XRP's price and overall market sentiment in the digital asset space.

Ripple's Chief Legal Officer stated that the company now faces a critical decision regarding whether to appeal the ruling or seek a settlement.