- Ripple vs. SEC: Legal expert explains investment contracts and court ruling deadline.
- Ripple lawsuit outcome predicted to have a major impact on XRP price.
Legal expert John E. Deaton, who is also an amicus curiae for Ripple, shared his thoughts on the ongoing court case between Ripple and the United States Securities and Exchange Commission (SEC).
Ripple vs. SEC: Legal expert explains investment contracts and court ruling deadline
In a Twitter thread, Deaton offered an explanation of investment contracts and securities, which he called “one of the most misunderstood legal terms in the law,” and the Howey Test. He explained that a digital asset, including cryptocurrency, standing alone is not a security, but it can be marketed and sold as an investment contract. Additionally, he mentioned that when dealing with an investment contract, there has never been a case in U.S. history where the secondary sale of that asset was also found to be a security.
Deaton also discussed the court ruling deadline, saying that Judge Analisa Torres could make a summary judgment ruling anytime between a few hours to a few months. Based on her earlier cases, Deaton predicted that the waiting time could be around two months following the Daubert/experts’ decision, which she issued on March 6, 2023.
The Ripple vs. SEC lawsuit is expected to have a significant impact on the price of XRP. The outcome of the case could prove disastrous for the finance watchdog’s summary judgment motion, according to pro-Ripple lawyers who have voiced their opinions. They singled out the exclusion of one specific witness, who was supposed to testify on why people bought the XRP token, as ‘fatal’ to the SEC.
Ripple lawsuit outcome predicted to have a major impact on XRP price
XRP has been on a bullish run lately, gaining 1515% over the past week, which adds up to a 36.69% advance on its monthly chart. However, the price of XRP recently showed the opposite response to Jim Cramer’s comment on the Ripple vs. SEC case. Cramer seemed to voice a belief that the SEC would lose the lawsuit after all. Despite this, XRP is currently trading at $0.52, recording an increase of 0.28% on the day.
In conclusion, the Ripple vs. SEC lawsuit has been a topic of great interest to the crypto community and beyond. Legal expert John E. Deaton’s explanation of investment contracts and securities shed light on some of the misunderstandings surrounding the case. The court ruling deadline is still uncertain, and the outcome of the case is predicted to have a significant impact on the price of XRP.