After the summary judgment, most cryptocurrencies experienced rapid increases, and this seems to be just a glimpse. A renowned lawyer known for his comments on the Ripple lawsuit evaluated the current situation. The lawyer, who gained the trust of XRP coin investors during the years-long legal process, does not seem too concerned about the recent SEC move.
The Latest Update on the Ripple Lawsuit
Amid speculation that a possible appeal by the U.S. SEC could have a negative impact on the cryptocurrency market, Attorney John Deaton, closely following the Ripple lawsuit, argued that even if an appeal were to be filed, it would not have significant consequences.
Following the judge’s decision stating that the programmed sales of XRP tokens through exchanges did not classify them as securities, the SEC’s decision to appeal raises new questions about potential legal outcomes. Attorney Deaton, representing over 75,000 XRP coin investors, provided detailed information about possible scenarios and intricacies regarding the implementation of the summary judgment.
What Will Happen to XRP Coin?
The U.S. SEC, in its application regarding the case of Do Kwon, CEO of Terraform Labs, stated that it plans to review the decision given in the Ripple lawsuit. This decision came after Kwon expressed his intention to use the Ripple lawsuit decision as a precedent to argue that digital assets should not be classified as securities. Deaton’s statement indicates that the appeal decision could take more than two years and that the summary judgment will remain valid during this period. Currently, it remains uncertain when the SEC personnel will initiate the appeals process in response to the decision.
“Filing an appeal does not imply a setback. No one should underestimate how significant this achievement is for XRP, XRP investors, and Ripple.”
In response to the ongoing debate about the SEC’s authority over tokens, Ripple’s Chief Legal Officer Stuart Alderoty stated that the jurisdiction of a securities regulator is limited to securities. If a token is not classified as a security, the SEC should not have a role in its regulation.
In summary, the SEC’s hands are largely tied with the surprising summary judgment. In this situation, it is likely that any potential lawsuits opened by the institution regarding the issuance of other altcoins through exchanges will also result in failure.
