The Ripple Vs SEC which was ongoing for over two years has reached its end with Judge Analisa Torres ruling that XRP is not a security. This landmark case establishes a significant precedent for other similar cases initiated by the SEC against various other cryptocurrency companies.
In a recent interview, pro-XRP lawyer, Attorney John Deaton explained Judge Torres’ decision on SEC v. Ripple case will be the law of the land for the next three years.
Ripple Ruling To Set Precedent For Upto Three Years
Attorney John Deaton, the founder of Crypto Law, has highlighted the impact of the SEC v. Ripple ruling on the cryptocurrency industry. During an interview with Ash Bennington, the Crypto Editor of Real Vision, Deaton stated that the ruling in the SEC v. Ripple case will remain the “law of the land” for the next two to three years. Deaton further explained that it may take up to three years before the case reaches the Second Circuit. This remark was reported by Fox Business’ Eleanor Terrett in a tweet.
In response, Attorney Deaton provided further clarifications to his remark. As per Deaton, Judge Torres’ ruling will be the “law of the land” as regards the SEC v. Ripple case.
In terms of the SEC’s appeal request, Deaton explained that it might take up to three years for the judge to approve it. Deaton also speculates that the SEC may reference the LBRY ruling, where it achieved a complete victory, in an attempt to argue that Judge Torres made an incorrect decision in the Ripple case.
SEC Considers Appeal Following Judge Torres’ Ruling
On July 13, Judge Torres delivered her ruling in the SEC v. Ripple case, but neither party achieved a complete victory through a summary judgment. The judge dismissed the SEC’s claim that Ripple violated the law through its programmatic sales of XRP. However, she ruled that Ripple’s direct past sales to institutional clients are securities. Judge Torres also concluded that XRP itself does not qualify as a security.
The SEC Chair Gary Gensler expressed his disappointment in the court’s decision and stated that the regulator is currently evaluating the ruling. Gensler’s remarks suggest that the SEC may consider appealing the decision once its assessment is complete.
In contrast, however, Attorney Deaton speculates that Judge Torres is likely to reject the SEC’s appeal request. Additionally, he explains that if an interlocutory appeal is not granted, Judge Torres’ decision will continue to hold as the governing legal precedent for the next two to three years.
