SEC Appeal Wont Be a Setback for XRP Holders –

SEC Appeal Won’t Be a Setback for XRP Holders – Per XRP Advocate – Cointelegraph

Amid speculation that a possible SEC (Securities and Exchange Commission) appeal could negatively impact the crypto market, pro-XRP attorney John Deaton has clarified that even if the agency were to appeal, it would not have a material impact on XRP (XRP) holders.

Following the judge’s ruling that the programmatic sale of XRP tokens through exchanges does not classify them as securities, a new question arises regarding the potential legal implications if the SEC decides to appeal the ruling. Deaton, representing more than 75,000 XRP token holders, worked out about the possible scenarios and subtleties of the execution of the summary judgment.

On July 21, the SEC announced in its filing in the case against Terraform Labs CEO Do Kwon that it intends to seek a review of the decision made in the Ripple lawsuit. This decision came after Kwon expressed his intention to use the ruling in the XRP litigation as a precedent to argue that digital assets should not be classified as securities.

Deaton’s statement suggests the appeals decision could stretch for two years, during which the summary judgment will remain the governing law. It remains uncertain when the SEC will begin appeals in response to the ruling.

“An appeal is nowhere near a setback. Let no one underestimate how significant this win is for XRP, XRPHolders and Ripple.”

Responding to the ongoing discussion about the SEC’s authority over tokens, Stuart Alderoty, Ripple’s chief legal officer, tweeted that the agency’s jurisdiction is limited to securities. He said if a token isn’t classified as a security, the SEC shouldn’t have a role in its regulation. Recourse to a jurisdiction where none exists is merely a political exercise of power that ultimately benefits no one and harms all concerned.

Related: Terra’s interim CEO says every “little bit of progress” is nullified by accusations

In her July 13 ruling, Judge Analisa Torres noted that XRP tokens are not securities when sold on retail digital asset exchanges. However, the decision was not entirely in the company’s favor as it was found that Ripple had violated securities laws by offering XRP to hedge funds and other institutional buyers.

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