Cryptocurrency enthusiasts have been closely following the lawsuit between the Securities Exchange Commission (SEC) and Ripple, seeking any signs of a potential settlement.
Recent rumors of a settlement meeting scheduled for May 8th between the two parties have prompted CryptoLaw founder and crypto attorney John Deaton to offer further explanation and clarification on the matter.
Dispelling Settlement Rumors
Deaton took to Twitter to debunk the settlement rumors circulating in the XRP community. He referred to a tweet by crypto news outlet Blockchain Daily, which reported an undisclosed settlement meeting between Ripple and the SEC on May 8th.
Deaton expressed his belief that the report is false, stating that a settlement would likely only occur after Judge Analisa Torres has issued a ruling on the case.
The expert further explained that the SEC might only show interest in settling if Ripple secures a significant victory in the lawsuit. In this scenario, SEC Chair Gary Gensler could save face and claim a political win through the settlement.
A Closer Look at the Legal Process
According to Deaton, any settlement talks would likely be held privately to avoid market manipulation and insider trading risks. He believes that if Ripple and the SEC were to reach an agreement, they would only then report the settlement to the presiding judge. He then dismissed the idea of a scheduled meeting between the parties as an attempt to orchestrate a market pump.
Predicting a Summary Judgment Date
The ongoing legal battle between Ripple and the SEC has left the crypto community questioning the outcome and its impact on the industry. Speculation surrounding when Judge Torres will deliver the summary judgment has only added to the uncertainty.
In Ripple’s Q1 2023 quarterly report, the company commented on the potential summary judgment date, expecting the matter to be resolved within the year. However, the timing ultimately depends on the court’s decision.
John Deaton has advised interested parties to watch for May 6th, as he predicts a summary judgment will be delivered on that date. This aligns with Ripple CEO Brad Garlinghouse’s expectation that the case will conclude in the first half of 2023.
Read More: Top Lawyer Explains Why Winning Against SEC Won’t Stop Ripple’s Settlement