Saturday, May 21, 2022
Home Crypto News Market Attorney John Deaton On SEC V. Ripple: "Ripple Can’t Lose At All....

Attorney John Deaton On SEC V. Ripple: “Ripple Can’t Lose At All. Not True. It’s Possible That Both Sides Win”

- Advertisement -

Attorney John Deaton says that both Ripple and SEC Can Become Winners In the Lawsuit.

The lawsuit filed against popular blockchain company Ripple by the Securities and Exchange Commission (SEC) has had its own fair share of twists and intriguing moments over its more than one year of existence.  

The developments in the case have prompted several analysts and the entire cryptocurrency community, especially XRP holders, to forecast a possible outcome in the lawsuit. 

Many analysts have predicted an outcome in Ripple’s favor because the blockchain company has seen the majority of the court’s rulings swing in its favor

A Win for Both Parties

However, attorney John Deaton, who is representing over 65,000 XRP holders in the case, believes both Ripple and the Securities and Exchange Commission can become winners in the lawsuit. 

“RIPPLE AND THE SEC CAN BOTH WIN. Now that we have arrived at summary judgment time, I see a lot of comments on how @Ripple can’t lose at all. Not true. It is possible that both sides win – technically and legally speaking,” attorney Deaton said.


Deaton suggested that both Ripple and the SEC can win legally and technically if the duo agree on “a list of stipulated indisputable facts.”  

With the parties reaching an agreement on a list of things considered to be indisputable facts, this will remove such cases from being decided by the court, attorney Deaton said. 

More Insights

Citing a few instances, attorney Deaton noted that the blockchain company and the SEC could agree that Ripple sold 1 billion units of the XRP coins to an investor, with each valued at $0.05 and the total offering valued at $25 million. 

He stated that if such an agreement is reached, the court can use the Howey test to decide that the investor bought the XRP with an expectation of making a profit, which makes the entire offering to be considered an investment contract and it will be a win for the SEC. 


Attorney Deaton added that Ripple could also become a winner in the case if the court uses the same factors to decide that the ongoing sales by Ripples are not securities.

“Ripple could still win b/c the judge applying those same factors decides ongoing sales of XRP by Ripple are NOT securities. Ripple wins.”

“The judge should find that secondary market sales of XRP independent of Ripple are also not securities. XRPHolders win,” attorney Deaton added. 


- Advertisement -


The content is for informational purposes only and may include the author’s personal opinion, and does not necessarily reflect the opinion of TheCryptoBasic. All Financial investments, including crypto, carry significant risk, so always do your complete research before investing. Never invest money you cannot afford to lose; the author or the publication does not hold any responsibility for your financial loss or gains.

Ammara Mubin is a cryptocurrency reporter and trader with vast experience in the industry. Mubin has written several news stories related to the crypto industry, including non-fungible tokens (NFTs), decentralized finance (DeFi), fundraising, mining, etc. Her major focus is covering regulatory events that are capable of shaping the entire crypto ecosystem.


Please enter your comment!
Please enter your name here

- Advertisment -

Recent News & Articles

Shiba Inu Lead Developer Says Things Will Get Interesting Next Week 

Something Interesting coming for Shiba Inu community. window.coinzilla_display = window.coinzilla_display || ; var c_display_preferences...

Bill Gates Says He Is Not Invested In Crypto Because It is Valueless to Society 

The former world's richest person does not have any love for crypto. Bill Gates, the co-founder of popular tech company Microsoft disclosed that he does...

Binance CEO Says UST and LUNA Crash Could Have Been Avoided If Terra Used Its Bitcoin Reserve Earlier 

CZ is still not happy with the way Terra handled last week’s situation as he believes the crash could have been avoided if the...

Tether CTO: LUNA And UST Were Flawed In Design But Not A Rug Pull

The team at Terra has been struggling to save LUNA and UST after a sudden crash that sent the price of LUNA spilling down...

Two Major Indicators Suggest Bitcoin (BTC) Possible Price Rebound Above $35,000 

There is a likelihood that Bitcoin's price will rebound soon as it currently sits around major support levels.   Following last week’s market turmoil that...

Majority Of Terra Community Wants New Luna Chain Without UST

The Terra community has been deliberating on the way forward after the crypto lost over 95% of its ATH value. Many in the crypto...

Can Crypto Payments Finally Take Off?

Helio, the Web3 payments company, launched its beta this week to offer a much-needed path for faster adoption of crypto payments. Its complete Web3...

Subscribe To Our Newsletter

Get Updated with All The latest Crypto News, Articles, Reviews, Analysis and much more. Delivered Every Monday.