John Deaton, a well-known cryptocurrency lawyer, has turned to Twitter to provide his forecasts for the year 2023.
Deaton’s Predictions for Ripple-SEC Case
Among Deaton’s predictions, the first one is that a settlement to the Ripple case will not be reached until after we hear from Judge Torres. In the case that Ripple is being sued over, the attorney has also presented an argument that is in opposition to the SEC’s assertion.
The regulatory body claims that the firm is dependent on XRP sales to finance its operations and capital expenditures, which is evidence that Ripple and XRP are both belonging to the same enterprise and that the cryptocurrency is a security.
This assertion is further supported by the fact that Ripple allegedly gave cryptocurrency exchanges financial incentives in return for listing XRP. Both pieces of evidence, according to Deaton, are the SEC’s most compelling pieces of evidence; yet, all of this has left him wondering what exactly constitutes a common operation.
Deaton argues that in order for a court to accept the claim that Ripple planned to sell XRP and establish a secondary market, they would have to conclude that the whole XRP ecosystem, such as the exchanges and all of the holders, is a joint company.
Deaton’s Other Predictions
If Ripple’s SEC complaint is dismissed and XRP is classified as a security, the SEC may decide to launch an enforcement initiative to control the cryptocurrency. The XRP community anticipates a favorable ruling from Judge Torres.
Deaton further claims that the SEC will suit more than one exchange for selling securities without proper registration. The sued exchanges are called Gemini and Genesis.
Deaton then goes on to suggest that he believes inquiries into the interactions between disgraced crypto public figure Sam Bankman Fried and will reveal a lot of shady goings-on.
The attorney concludes that Gary Gensler will leave before the year is up. I find these predictions interesting, and I look forward to seeing which ones come true.