SEC Appeals XRP, Deaton Expresses Concerns of Potential Backfire

Crypto lawyer John Deaton has shared his insights on the appeal made by the SEC in the XRP lawsuit. The SEC is seeking to challenge certain aspects of the court’s decision early on, even before the main case concludes. While this could give the SEC an advantage, Deaton emphasizes that it does not guarantee an automatic win for them.

Deaton revealed in a recent post that the judge is likely to agree to this early challenge. If accepted, the judge could provide a more detailed explanation of her decision, making it harder to dispute later. Furthermore, Deaton believes that this could be an opportunity for the judge to address concerns raised by another judge.

As for Deaton’s own involvement, he is waiting to hear Ripple’s response before deciding on his next steps. He wants to ensure that his input adds something new and valuable to the case.

Deaton’s insights suggest that the SEC’s appeal might be a strategic move, but its success is not guaranteed. The process could strengthen the judge’s decision and bring clarity to certain legal questions. The outcome of this development remains to be seen.

In a recent development, the Court aims to hold a trial before a jury in the second quarter of 2024. Given the unexpected announcement by the SEC, it is possible that they have missed the opportunity to submit an “interlocutory appeal” this week.

Today, XRP prices rose by 66 cents before the market opened, sparking speculation for the new year. Other assets like ETH and Cardano face challenges in reaching a new all-time high due to their legal status.

The judgment implies that any cryptocurrency can be deemed a security depending on the sale context, whether it is an institutional or secondary market sale. XRP may benefit from this as it could have a cooling period to maintain its position in the market.