A crucial milestone in the US Securities and Exchange Commission’s (SEC) continuing litigation with payments startup Ripple Labs for reportedly issuing XRP as an unregistered securities has been highlighted by a crypto legal expert.
John Deaton, an attorney and XRP advocate, has requested to represent 67,000 XRP investors in a letter.
The move follows the SEC’s call for an expert witness to speak on what XRP purchasers thought when they purchased the sixth-largest crypto asset.
Deaton’s involvement, according to crypto law expert Jeremy Hogan, might represent a critical turning point in the case.
Here the SEC is seeking testimony from an “expert” to witness in regards with what XRP purchasers were thinking when they bought the cryptocurrency. Deaton represents 67,000 legitimate XRP owners and wants to hear from them directly. As a result, the Securities and Exchange Commission opposes it.
Deaton intends to file a ‘Daubert’ motion in response to the SEC’s hiring of an expert to analyze the motivations of XRP buyers. This proves that Ripple is attempting to dismiss the testimony because his viewpoint lacks a “reasonable scientific foundation.”
A Daubert move is a sort of motion that seeks to prevent an expert from testifying in front of a jury.
If the SEC’s expert witness is refused, Hogan, who has been watching the case closely for months, believes the SEC would struggle to prove its case.
Hogan further says that If the SEC depends on an expert to claim that reasonable XRP customers acquired the cryptocurrency because they expected Ripple to enhance its price, and the expert gets dismissed, how can the SEC prove its case?
Especially if there are a hundred XRP holders who disagree!
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