To every observer following the ongoing legal battle between blockchain payments firm Ripple Labs Inc and the United States Securities and Exchange Commission (SEC), it will become glaring that there is <\/span>a possibility of an appeal<\/span><\/a> to the latest XRP ruling from Judge Analisa Torres.<\/span><\/p>\n Should the market regulator choose to appeal the ruling after hinting that the retail aspect of the securities argument was wrong, crypto lawyer, John Deaton believes what the regulator will get at best is a remand.<\/span><\/p>\n <\/p>\n Deaton <\/span>shared<\/span><\/a> his take to his Twitter followers, referencing Footnote 13 in the ruling. The footnote detailed how the court agreed that the common enterprise designation for the XRP sales was applicable only to institutional investors and that the definition extension did not apply to XRP sales on secondary markets.<\/span><\/p>\n READ FOOTNOTE 13 PEOPLE:<\/p>\n \u201cThe Court holds only that a common enterprise existed between Ripple and the Institutional Buyers. The Court does not reach the question of whether the common enterprise extends to encompass “other XP holders.” Defendants Garlinghouse and Larsen, the\u2026 https:\/\/t.co\/uQO0q4M6sT<\/a> pic.twitter.com\/VwX4jyChSf<\/a><\/p>\n <\/p>\n \u2014 John E Deaton (@JohnEDeaton1) July 22, 2023<\/a><\/p>\n<\/blockquote>\n Deaton said in the case of a successful appeal, “Judge Torres will likely decide the SEC failed to prove the common enterprise factor between Ripple and XRP holders in the secondary market.”<\/span><\/p>\n <\/p>\n In this position, he believes Judge Torres will have the basis to arrive at this verdict seeing the markets regulator changed its theory about the common enterprise state of the XRP token over the past months since the case has been dragged on all along.<\/span><\/p>\n Deaton is not so convinced the markets regulator has a chance with the appeal, a position that echoes a related scenario he has been analyzing for a while now. He alongside other top experts in the industry believes the XRP ruling is more or less the game-changer in the lawsuit.<\/span><\/p>\n The Ripple vs SEC case is arguably one of the most important cases in the industry today as the final outcome will play a crucial role in solidifying the defense of most firms currently being sued by the markets regulator. <\/span>including<\/span><\/a> Coinbase and Binance.<\/span><\/p>\n Terraform Labs is <\/span>already living<\/span><\/a> on the ruling to have its pending case dismissed. This situation models how many firms will leverage the XRP ruling, if allowed to stand, to boost their defenses in the case of subsequent crackdowns by the SEC.<\/span><\/p>\n <\/p>\n <\/p>\n Benjamin Godfrey is a blockchain enthusiast and journalist who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter<\/a>, LinkedIn<\/a> <\/p><\/div>\n<\/p><\/div>\nXRP Ruling Appeal, Deaton’s Take<\/b><\/h2>\n
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The Precedent is Set Already<\/b><\/h2>\n
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