John Deaton agrees with Mark Cuban: SEC appeal won’t ensure victory in Ripple case


Ripple Rises from SEC Clash

The post John Deaton agrees with Mark Cuban: SEC appeal won’t ensure victory in Ripple case appeared first on Coinpedia Fintech News

Based on recent court statements from the U.S. Securities and Exchange Commission (SEC), it is possible that the agency may soon file for an appeal against the XRP lawsuit Summary Judgment.

Experts are discussing whether the Common Enterprise factor was a challenging aspect for the SEC to prove, and the judge had excluded the opinion of their expert on this issue. The crypto market is considering the options available to the SEC if they decide to challenge the ruling.

Recently, the US SEC Chair Gary Gensler avoided answering a question about the Ripple lawsuit ruling, mentioning that decisions are made collectively.

During the same discussion, he opened up about his warning to ‘investors’ about the crypto market, which Mark Cuban objected to. Cuban said that Gary Gensler has been known to refer to token holders as investors, even though he is aware that it may not be entirely accurate, but it serves his purposes.

Cuban wrote on Twitter, “Which leads to a question, which tokens are still actively enhancing , supporting and promoting ? In other words which are acting as a “common enterprise” Given the decline in investment into crypto, the data might tell a different story over the past year, that efforts of the “common enterprise” and “associated persons* have declined or even ended for many tokens, shouldn’t it ? Making them certain to fail Howey.”

John Deaton agreed with Cuban’s statement. He stated that even if the SEC’s appeal succeeds, it wouldn’t guarantee a victory for the SEC. Judge Torres didn’t consider the issue of a common enterprise due to the third Howey factor not being satisfied.

This factor was challenging for the SEC to prove, and their expert’s opinion on it was excluded by the judge. Deaton believes that the case would likely have the same result as it does now if the SEC wins the appeal on the third factor.

Meanwhile, the XRP price remains stable after undergoing a correction following the rally caused by the Summary Judgment.