TL;DR Attorney John E Deaton believes Coinbase has over a 50% chance of winning its District Court case against the SEC, with increasing odds at higher court levels. Before suing Coinbase for allegedly trading unregistered securities, the SEC initiated a similar case against Binance. Ripple has achieved several partial wins against the SEC’s claim that XRP was an unregistered security. A conclusive trial is set for April next year. ‘Better Than 50%’ John E Deaton – an American attorney representing thousands of XRP investors in the lawsuit against the US Securities and Exchange Commission (SEC) – chipped in about another legal battle the regulator leads: the one with the cryptocurrency exchange Coinbase. He believes that the marketplace has “a real shot” with its motion
Topics:
Dimitar Dzhondzhorov considers the following as important: coinbase, Crypto Bits, sec
This could be interesting, too:
Dimitar Dzhondzhorov writes We Asked ChatGPT Which Will be the Next Meme Coin to Hit B Market Cap
Dimitar Dzhondzhorov writes Importnat Shiba Inu (SHIB) Update Coming Up Next Week: Details
Steve Muchoki writes BNY Mellon Invests in Spot Bitcoin ETFs from BlackRock and Grayscale
George Georgiev writes Bitcoin’s Chop Continues, XRP Gains as Ripple v. SEC Trial Begins, and More: This Week’s Crypto Recap
TL;DR
- Attorney John E Deaton believes Coinbase has over a 50% chance of winning its District Court case against the SEC, with increasing odds at higher court levels.
- Before suing Coinbase for allegedly trading unregistered securities, the SEC initiated a similar case against Binance.
- Ripple has achieved several partial wins against the SEC’s claim that XRP was an unregistered security. A conclusive trial is set for April next year.
‘Better Than 50%’
John E Deaton – an American attorney representing thousands of XRP investors in the lawsuit against the US Securities and Exchange Commission (SEC) – chipped in about another legal battle the regulator leads: the one with the cryptocurrency exchange Coinbase.
He believes that the marketplace has “a real shot” with its motion to dismiss (MTD) the case, evaluating its chance to secure a victory at the District Court level at “better than 50%.” Moreover, Deaton thinks the odds for a Coinbase win at the 2nd Circuit level and the Supreme Court level are even better:
“I have the odds for a Coinbase victory at the District Court level, better than 50%, and at the 2nd Circuit level, better than 60%, and at the Supreme Court level, better than 80%. Gary Gensler and the SECGov’s days of unconstitutionally expanding Howey, are limited.”
Recall that the agency sued Coinbase at the beginning of June, accusing it of breaching several laws and offering trading services with alleged unregistered securities. Prior to that, it filed a lawsuit against another behemoth in the cryptocurrency industry – Binance.
The SEC vs. Ripple
Arguably, the most famous lawsuit that the SEC is involved in is the one against Ripple. The legal battle started in December 2020 when the Commission maintained that the blockchain enterprise sold XRP tokens worth billions of dollars as an unregistered security offering.
The dispute passed through multiple phases in the following years, with both organizations firing shots at each other. The culmination occurred in mid-July when a US Federal Judge ruled that Ripple’s programmatic XRP sales did not constitute an offer of investment contracts.
The crypto company won its second partial win at the beginning of October when the magistrates dismissed the SEC’s wish to appeal the initial decision and a third one when CEO Brad Garlinghouse and Executive Chairman Chris Larsen were cleared of all claims brought by the regulator.
The grand trial set for April next year should determine the outcome of the lengthy battle between the entities.