The long-running legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) is reportedly nearing its conclusion, with negotiations ongoing to settle the case. Ripple is seeking to renegotiate terms of the $125 million fine imposed in an August 2024 court ruling. The case, which began in December 2020, centered on allegations that Ripple sold XRP as an unregistered security, raising $1.3 billion. While a 2024 ruling determined that XRP was not a security in programmatic sales, it upheld penalties for institutional sales. Ripple's legal team is reportedly pushing for more favorable terms, citing the SEC's recent shift in enforcement priorities under Acting Chair Mark Uyeda. Reports suggest that the SEC is reconsidering whether XRP should be classified as a commodity, potentially aligning it with Ethereum (ETH). This shift could influence the final resolution of the case. The SEC has recently dropped cases against other crypto firms, including Coinbase and Kraken, signaling a broader regulatory pivot. Ripple has also been active in U.S. politics, donating $45 million to the crypto-focused Fairshake PAC and $5 million to President Donald Trump's inauguration fund. Following reports of a potential settlement, XRP's price increased by 3.12% to $2.23, with a market capitalization of $129.33 billion.