1 billion XRP transfer, SEC could refund $125 million to Ripple if appeal fails

• Ripple unlocked 1 billion XRP from its escrow account on September 1, causing concern among XRP holders.
• Pro-crypto attorney Fred Rispoli asked securities lawyers whether. The SEC would pay $125 million and statutory interest to Ripple if the appeal fails.
• XRP drops to $0.55, erases 1.70% on Sunday.

Ripple unlocked a large volume of XRP tokens on September 1st. The transfer was watched by Whale Alerts and XRP traders pondered the impact of unlocking a large volume.

XRP is currently facing increasing selling pressure and fell to $0.55 on Sunday.

What happens if the SEC loses its appeal in the Ripple lawsuit

Pro-crypto attorney Fred Rispoli posed a key question to securities lawyers in a recent tweet on X. Rispoli asked if the SEC would have to repay the remittance firm’s $125 million fine along with legal interest .

It remains unclear whether the regulator will choose to challenge the decision in court. In the final ruling, Judge Analisa Torres upheld the ruling on XRP’s security status.

1 Billion Ripple XRP Unlock

Ripple released 1 billion XRP tokens through its escrow process. The transaction took place in three phases, 500 million, 200 million and 300 million XRP tokens were released. The price of XRP erased nearly 1.70% of its value as traders digested the news of the transfers.

On-chain data shows that Ripple’s active addresses increased by nearly 17% in a single day on September 1st. When combined with the drop in exchange supply, it implies that active addresses have moved XRP out of exchange wallets. This supports an optimistic altcoin thesis.

Supplying XRP on active exchanges and addresses

At the time of writing, XRP is trading at $0.55.