Attorney and founder of Crypto Law, John Deaton, warns that the fight against crypto is far from over. He emphasizes ongoing legal issues such as the case between Ripple and the SEC, along with other challenges facing the crypto community.
The SEC Case Against Ripple
John Deaton stated that the SEC's case against Ripple goes beyond just the company, claiming that XRP itself is a security, which ignores 75 years of legal precedent. Deaton represents over 75,000 XRP holders in this ongoing case. While many hoped this was a one-time issue, similar lawsuits against platforms like Coinbase and Kraken have shown the problem is broader.
Regulation and New Challenges for the Crypto Industry
Aside from the Ripple case, regulators launched 'Chokepoint 2.0', increasing the clampdown on crypto, along with battles from figures like Caitlin Long and Custodia Bank against the Federal Reserve. Although the recent departure of Gary Gensler from the SEC might suggest some pressure lifting, Deaton warns that many of these fights are still ongoing.
Legal Implications for DeFi and Cryptocurrency
One of the biggest concerns now is the legal case against Roman Storm, the developer of Tornado Cash, and two developers of the Samourai Wallet. These cases involve Section 1960 of the U.S. Code, which deals with unlicensed money transmitting businesses. The crypto community believed that developers who don’t directly control users’ funds were not money transmitters, but the Department of Justice disagrees.
While debates continue over issues like spot ETFs and token securities, the real danger to crypto comes from legal cases targeting DeFi. The fight for crypto’s future is far from over, and Deaton urges the community to stay alert.
