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- No announcement of IPO or settlement is likely at the Ripple Proper Party, says crypto legal expert John E Deaton.
- Ripple’s partial victory in the SEC lawsuit has fueled speculation among the XRP community about the company’s next moves.
With Ripple’s Proper Party just around the corner on September 29th, everyone in the crypto community is abuzz. This event marks Ripple’s partial victory over the United States Securities and Exchange Commission (SEC), where a judge ruled that XRP tokens were not to be classified as securities. John E Deaton, founder of Crypto-Law.us and a luminary in the crypto legal field, offers keen insights on what the XRP community can expect at the upcoming event, Collin Brown tweeted.
https://twitter.com/CollinBrownBTC/status/1698545083698520163
Ripple Re-Engaging with U.S. Clients
Originally, Ripple Labs CEO Brad Garlinghouse announced the Proper Party as a celebratory occasion to follow the company’s recent legal win. This ruling had significant implications, not just for retail traders, but also for institutional investors. Ripple executives have already disclosed that they are in the process of re-establishing partnerships with U.S.-based clients for their payment software solutions.
I have ZERO insider information. With that said, let me tell you that at the @Ripple Proper Party there won’t be an announcement of a settlement. See why I say that below 👇
There won’t be an announcement of an IPO either. Who approves an IPO? That’s right: the @SECGov. The SEC… https://t.co/kBz2WxPfnI
— John E Deaton (@JohnEDeaton1) September 3, 2023
Garlinghouse’s tweet aligns perfectly with the message from the Ripple executives, amplifying the enthusiasm and cementing September 29th as a day to watch.
The Landscape After SEC Lawsuits
John E Deaton, who represents the XRP holder community, doesn’t anticipate any settlement announcements at the Proper Party. According to him, a settlement would only be possible if there were substantial developments in the ongoing Coinbase vs. SEC lawsuit. Deaton also dismissed the possibility of Ripple announcing an Initial Public Offering (IPO) at this event, stating that it would be improbable for the SEC to approve an IPO while it continues to pursue permanent injunctions against Ripple’s future institutional sales of XRP.
What Could Trigger a Settlement?
Even after Ripple’s partial victory, a settlement with the SEC is still a point of discussion. Deaton explains that a settlement before the end of the year would only be feasible if Judge Failla grants Coinbase’s motion to dismiss the SEC lawsuit, or at least partially grants it, focusing on token sales not falling under U.S. securities laws. If this happens, the SEC, under its head Gary Gensler, might be forced to shift its approach.
The Community Waits
As Ripple’s Proper Party nears, anticipation builds. Registrations for the September 29th event in New York City are now open, fueling the crypto community’s speculation. Will there be an IPO announcement that rockets the XRP price to $1, or will the company simply celebrate its hard-fought legal triumph? According to John E Deaton, don’t hold your breath for either; the SEC’s current legal stance makes both unlikely at the moment.
