Has the tide turned in favor of Ripple in the ongoing legal battle with the U.S. Securities and Exchange Commission (SEC)? According to John Deaton, a prominent attorney and the founder of CryptoLaw, Ripple is on the verge of a significant legal victory in the Ripple SEC Lawsuit.
A Closer Look at Deaton’s Analysis
Contrary to the belief that the SEC and Ripple stand on equal ground in the lawsuit, Deaton asserts that the scales are heavily tipped in Ripple’s favor. He contested the popular notion of a 50-50 outcome, instead suggesting a 90-10 division in favor of Ripple. Should Ripple end up paying a fine of $20 million or less, Deaton views it as a near-complete legal triumph for the company.
The Implications of the Govil Case
Deaton’s comments were in response to a tweet by Ripple’s general counsel, Stuart Alderoty, highlighting the SEC’s loss in the Govil case. In this case, the 2nd Circuit ruled that the SEC could not demand crippling disgorgement without first proving that the “investors” had suffered actual financial damage. This ruling holds significance for the Ripple SEC Lawsuit as it is currently in the damages phase, implying that Ripple could only be held liable if XRP holders have incurred losses.
What’s Next in the Ripple SEC Lawsuit?
As the lawsuit unfolds, a crucial date to watch is November 9, 2023. On this day, both parties are expected to propose a briefing schedule regarding appropriate remedies for Ripple’s alleged Section 5 violations related to its institutional sales of XRP. It’s likely that the SEC and Ripple will meet before this date to discuss the briefing schedule.
In another development, Deaton dismissed two prevailing speculations. He stated that there are no ongoing settlement discussions between Ripple and the SEC. Additionally, he confirmed that Ripple has no plans to go public before June 2024.
For those interested in following the progress of the Ripple SEC Lawsuit, a comprehensive tool like cryptoview.io can be invaluable. It offers a holistic view of the cryptocurrency market, including the latest news and trends, making it easier to stay informed about the legal developments affecting Ripple and other cryptocurrencies.
