The legal battle between Ripple and SEC has taken an intriguing turn with XRP supporter attorney John Deaton predicting a notable decrease in the speculated $770 million settlement. The recent comments from prominent figures in the XRP world have caught the attention of cryptocurrency enthusiasts. In his latest statement, John Deaton shared his expectations and made noteworthy remarks about the legal battle involving Ripple and SEC.
Deaton: SEC Could End Up Owing Ripple
According to XRP supporter attorney John Deaton, in his recent statement on his personal Twitter account, he said that Ripple could end up paying much less than the initially mentioned $770 million settlement in legal proceedings. Deaton pointed out the recent decision of the Supreme Court, highlighting that it stated there should be no punitive damages and the net profits from sales should not be exceeded.
Additionally, Deaton implied that Ripple could deduct its legitimate expenses from the settlement and specifically mentioned the $150 million legal fees that Ripple has paid and believes can be deducted. He noted that Ripple CEO Brad Garlinghouse and Chief Legal Officer Stuart Alderoty could evaluate this situation. He also addressed various factors such as foreign sales, sales to accredited investors, and On-Demand Liquidity (ODL) transactions that could affect the final settlement amount that Ripple has to pay.
In his statement, he expressed an optimistic view that Ripple could potentially pay less in settlement to SEC based on legal assessments and deductions. He even jokingly said, “SEC could end up owing Ripple.”
Obstacles in Front of SEC’s $770 Million Settlement Demand
Deaton’s perspective focuses on critical elements that could turn the court’s decision in favor of the company and herald a potential legal victory for the cryptocurrency firm. The XRP supporter attorney emphasized the significance of the Supreme Court’s Morrison decision, which excludes sales outside the United States from SEC jurisdiction.
While Ripple is facing scrutiny over international XRP sales, particularly in regions like the United Kingdom, Japan, and Switzerland, the non-security legal statuses in these countries strengthen Ripple’s defense. The fact that the Financial Conduct Authority (FCA) in the UK and the Financial Services Agency (FSA) in Japan have not classified XRP as a security poses a significant obstacle to SEC’s attempt to claim compensation from international sales.
Although Deaton’s comment indicates a promising outlook for Ripple, it is important to acknowledge the complexity of legal proceedings. Meanwhile, the upcoming CryptoLawUS live stream, which promises a deeper analysis shedding light on potential outcomes for Ripple in this pivotal legal battle, will be closely monitored by market observers.
