Influential lawyer and representative XRP holders John Deaton released important information about the possibility of appealing the decision of the US Securities and Exchange Commission against Ripple. He clarified that the appeal does not necessarily mean failure for cryptocurrency advocates.
First, the expert explained that the recent decision of Judge Torres remain in effect for at least two yearsif an appeal is made, which creates a significant buffer period. Deaton also discussed the impact of the potential outcome of the appeal. He expressed confidence in the strength of Judge Torres’ decision, especially with regard to the legal factor known as the “general entrepreneurial factor”.
A lawyer for XRP holders predicted that the chances of the Second Circuit overturning this part of the decision are slim. This suggests that even if the SEC benefits from certain sales of Ripple, it cannot ensure a complete victory in this case.
The possibility of an appeal by the SEC remains uncertain as experts are divided on the matter. Some argue that the commission is unlikely to succeed on appeal. Others drew attention to a recent case where the SEC asked the court to disregard parts of a decision in favor of Ripple in a lawsuit against Terraform Labs, citing non-compliance with existing securities laws and the principles of the Howey test. The move has been interpreted by many as a signal that the SEC intends to appeal the Ripple case.