XRP set regulatory standards… Is the crypto market changing?

▲ XRP/AI-generated image ©

XRP (Ripple) has emerged as a key case that set a benchmark for the cryptocurrency regulatory framework after years of litigation.

According to crypto media outlet Watcher.Guru on April 29 (local time), the clarification of XRP's legal status following the conclusion of the lawsuit between the U.S. Securities and Exchange Commission (SEC) and Ripple is credited with playing a decisive role in establishing the overall virtual asset regulatory framework.

A U.S. court ruled that sales of XRP to retail investors do not constitute securities, but sales to institutional investors are considered securities. This ruling resolved the biggest uncertainty for investors regarding asset classification, leading to a restoration of market confidence, and XRP recorded an all-time high of $3.65 in July 2025.

Since then, the regulatory environment has also been rapidly clarifying. The SEC and the U.S. Commodity Futures Trading Commission (CFTC) announced jointly in March of this year that most cryptocurrencies are classified as digital commodities rather than securities. As a result, major assets such as Bitcoin (BTC), Ethereum (ETH), and XRP are being directed under the CFTC's jurisdiction.

Concurrently, an XRP spot ETF was launched by the end of 2025, marking the full-fledged integration into the institutional system. However, as this product is subject to securities law, it still operates under SEC supervision. This is considered an example where the same asset is subject to different regulatory frameworks depending on the investor type.

In the U.S. Congress, the passage of the U.S. crypto market structure bill, the CLARITY Act, is imminent. The Senate is expected to pass it by May 2026, which will further formalize the current structure where assets like XRP are classified as non-securities for retail investors and securities for institutional investors.

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