• Legal expert Deaton sees weak grounds for SEC’s appeal in Ripple case.
• Ripple investors may benefit if the SEC case is dismissed by SEC leadership.
• SEC’s appeal could face setbacks, possibly leading to further legal delays.

The ongoing legal dispute between Ripple and the U.S. Securities and Exchange Commission (SEC) has kept many investors on edge. Legal expert John Deaton recently weighed in, offering insights into what might happen next in this high-profile case. With the SEC filing an appeal, many are left wondering if this could result in a prolonged battle or a swift resolution in favor of Ripple.

No Solid Grounds for SEC Appeal

Deaton, speaking on the Good Morning Crypto Show, stated that the SEC has little chance of winning an appeal. He thinks the SEC’s appeal is weak, especially because of the recent court decision.

In the original ruling, Judge Analisa Torres found that the SEC failed to meet key criteria in its attempt to classify XRP sales to retail investors as unregistered securities. The SEC wants to change this ruling, but Deaton says the case would probably go back to Judge Torres, who may rule in Ripple’s favor again.

Moreover, Deaton said that if the case goes to the Second Circuit Court, it would probably support Ripple. So, the SEC would have a hard time making any headway. If the SEC does succeed, the case could go to the Supreme Court, which would cause more delays and legal complexities.

Related: Ripple ($XRP) vs SEC: Price Predictions and Market Trends Explained

Ripple’s Positive Outlook: Potential Case Dismissal

Ripple investors have reason to be optimistic. Deaton said that current SEC leadership, including acting director Paul Atkins, may want to dismiss the case.

Atkins, who has been critical of the SEC’s approach, could be influential in rallying for a vote to drop the case entirely. With three out of five SEC commissioners agreeing, the case could be dismissed, which would be a big win for Ripple.

Related: SEC Responds to Litecoin ETF Filing as Market Eyes Approval

The growing sentiment that XRP serves a legitimate function in the crypto market, much like other cryptocurrencies, strengthens this possibility. Consequently, a dismissal could mark a pivotal moment in the ongoing battle, benefiting Ripple and its investors.

The SEC’s Appeal and Ripple’s Legal Journey

The SEC’s appeal, filed on January 15, challenges a federal court ruling from July 2023. The SEC says XRP sales to retail investors are unregistered securities, even though the court said they aren’t. But with legal experts like Deaton and the current sentiment surrounding the case, Ripple’s victory looks increasingly likely.