Attorney John Deaton has strongly criticized the U.S. Securities and Exchange Commission (SEC) for its handling of cryptocurrency regulation, particularly in relation to the Ripple case.
Deaton’s Criticism of the SEC
Attorney John Deaton has sharply criticized the SEC for its approach to cryptocurrency regulation, particularly regarding the Ripple case. Stuart Alderoty, Ripple’s Chief Legal Officer, recently announced the end of this four-year conflict, with the SEC even apologizing for mischaracterizing XRP.
Investors' Financial Losses
After the case concluded, Deaton highlighted the financial losses incurred by retail investors, stating that the SEC's actions cost small investors a staggering $15 billion. Deaton, representing 75,000 XRP token holders, made clear that his clients do not accept the SEC's apology.
Outcome and Potential Consequences
Deaton noted that Judge Analisa Torres ruled that XRP itself was not a security. This lengthy litigation resulted in significant legal costs for the SEC, and investors are now considering seeking compensation. Deaton awaits the results of the Inspector General's investigation, which could lead to further legal action against the SEC.
The Ripple case and John Deaton’s criticism raise important issues about cryptocurrency regulation and the accountability of regulatory bodies for their decisions.
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