TL;DR
– Attorney John E Deaton believes Coinbase has a greater than 50% chance of winning its District Court case against the SEC, with even higher odds at higher court levels.
– The SEC previously initiated a similar case against Binance before suing Coinbase.
– Ripple has achieved partial wins against the SEC’s claim that XRP was an unregistered security, with a conclusive trial set for April next year.
‘Better Than 50%’
John E Deaton, an American attorney representing XRP investors in the lawsuit against the SEC, commented on another legal battle involving the regulator and cryptocurrency exchange Coinbase. Deaton believes Coinbase has a strong chance of securing a victory at the District Court level, with odds better than 50%. He also believes the odds for a Coinbase win at the 2nd Circuit level and the Supreme Court level are even better. In a quote, Deaton stated, “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.”
The SEC filed a lawsuit against Coinbase in June, accusing the exchange of trading unregistered securities. Prior to that, the SEC also sued Binance.
The SEC vs. Ripple
One of the most notable lawsuits involving the SEC is the one against Ripple. The legal battle began in December 2020 when the SEC claimed that Ripple sold XRP tokens as an unregistered security offering. Over the following years, both Ripple and the SEC have exchanged claims against each other. In July, a US Federal Judge ruled that Ripple’s XRP sales did not constitute an offer of investment contracts, marking a partial win for Ripple. In October, Ripple achieved two more partial wins when the SEC’s wish to appeal was dismissed and CEO Brad Garlinghouse and Executive Chairman Chris Larsen were cleared of all claims. The outcome of the grand trial set for April next year will determine the final outcome of the dispute between Ripple and the SEC.
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About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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