Attorney John Deaton, who represents a significant number of XRP token holders, outlined possible actions the two sides could take if they decide to settle their legal dispute.
Deaton’s analysis is shaped by several critical factors, including the outcome of the ongoing legal battle between Coinbase and the SEC.
If the motion to dismiss Coinbase’s case is approved, it will significantly limit the SEC’s ability to appeal.
Amid ongoing speculation surrounding a potential settlement between Ripple and the U.S. Securities and Exchange Commission (SEC), attorney John Deaton, who represents a significant number of XRP holders, outlined possible actions both sides could take. they decide to settle their legal dispute, which is determined by several important factors, including the outcome of the ongoing litigation between Coinbase and the SEC.
In this context, he emphasizes that if the judge hearing the Coinbase case grants the exchange’s motion to dismiss the case, it will have serious implications for the broader crypto industry. In particular, it suggests that token sales conducted on exchanges are not subject to US securities laws, although the legal status of cryptocurrency would still be the subject of ongoing litigation.
In a detailed message, Deaton states:
“The only way Ripple and the SEC (could) come to an agreement before the end of the year is if Judge Failla grants Coinbase’s motion to dismiss or partially grants it – discovery of token sales on an exchange in a blind bid/offer transaction is not subject to the U.S. Securities Laws.”
The announcement underscores the key role the Coinbase case plays in potentially paving the way for a settlement between Ripple and the SEC.
If the motion to dismiss the Coinbase case is approved, it will significantly limit the SEC’s ability to appeal. This limitation could make settlement a more trac and matic option for both parties. Deaton further explains that even if an appeal were technically possible in such a scenario, the SEC’s credibility and influence would be greatly diminished.
The only way @Ripple and @SECGov settle before the end of the year is if Judge Failla grants @coinbase MTD (or partially grants it – detecting token sales on an exchange in a blind bid/offer transaction is not subject to U.S. securities. laws, but does authorize a component of betting…
John Deaton (@JohnEDeaton1) September 2, 2023.