The ongoing legal battle between Ripple and the US Securities and Exchange Commission (SEC) has garnered significant attention within the crypto community. As the case continues to unfold, John E. Deaton, a US attorney representing thousands of Ripple investors, has expressed his skepticism regarding the SEC’s chances of prevailing. In his view, the agency’s arguments lack substance and its attempts to delay the inevitable loss through appeals are nothing more than desperate tactics.
Deaton criticizes the SEC’s claim that it desires faster adjudication than Ripple’s blockchain enterprise, deeming it the “dumbest argument” he has ever heard. According to him, this assertion holds no weight and fails to address the core issues at hand. The attorney believes that the SEC’s sole strategy is to prolong the legal process in hopes of delaying the court’s decision.
A pivotal moment in the legal battle occurred in mid-July when a US Judge ruled that Ripple’s XRP sales did not constitute an offer of investment contracts. This decision significantly boosted the price of the digital asset by over 70%, signaling a partial win for the crypto firm. Deaton views this ruling as a crucial milestone that will likely lead to a decisive victory for Ripple.
Despite the setback, the SEC remains undeterred and formally appealed the ruling at the beginning of September. However, Deaton believes that even if the agency’s appeal is granted, it will not be sufficient for the SEC to win the case. According to him, Judge Torres, who presides over the case, will once again rule in favor of Ripple by thoroughly explaining her reasoning.
Deaton highlights that even if the SEC succeeds in appealing unfavorable decisions, it will have no substantial impact on the final resolution. Instead, he argues that these appeals are merely an attempt to delay the legal process. The attorney asserts that the SEC will incorporate separate arguments from ongoing cases into its appeal process, further prolonging litigation across the board. These tactics, according to Deaton, reflect the desperation of a regulator who has lost the case.
Numerous experts anticipate that the outcome of this prolonged legal battle will significantly impact the price of XRP. KALEO, a prominent crypto analyst on Twitter, predicts that the SEC’s appeal will reach a dead end, ultimately triggering a price rally for Ripple’s native token. The resolution of the lawsuit may have far-reaching consequences not only for Ripple but for the broader cryptocurrency market as well.
As the legal battle between Ripple and the SEC continues, John E. Deaton’s critical analysis shines a spotlight on the regulator’s losing strategy. With the partial win secured by Ripple in mid-July, it appears increasingly likely that the crypto firm will emerge victorious. The SEC’s attempts to delay the inevitable through appeals are perceived as desperate tactics by experts like Deaton. As the case unfolds, the crypto community anxiously awaits the outcome, recognizing that it could have significant implications for the price of XRP and the overall regulatory landscape surrounding cryptocurrencies.