XRP lawsuit wasn’t about securities laws, says US attorney John Deaton

A US attorney John Deaton indirectly claimed that the Ripple vs SEC lawsuit is not about the nature of the “XRP token”. He also compared the whole game with Ethereum (ETH).

On 4 Jan 2023, Charlie Gasparino from FOX Business talked about the Ripple vs United States Securities and Exchange Commission (SEC) lawsuit and said that the SEC agency initiated lawsuit against Ripple because Ripple management was flouting SEC’s authority by continuing to sell #XRP. 

Gasparino further explained that it was a moral duty from Ripple management to stop the sale of XRP tokens, which was not a legal activity under the perception of the SEC agency. 

He also noted that the Ethereum foundation followed the warnings from the SEC and they only sold ETH coins in the past for one time but stopped after the SEC notice. 

John Deaton, the owner of the Deaton Law Firm, responded to the independent reporting from Gasparino and said that the Ethereum Foundation sold ETH coins two times in two years, which was already admitted by Ethereum co-founder Vitalik Buterin.

Further US attorney said that the whole lawsuit is not all about the nature of the XRP token or violation of securities law. 

In this way, the US attorney indirectly claimed that the SEC agency is trying to hammer the Ripple company for nothing and they are only targeting the Ripple company but already many big Crypto companies are doing the same work in the Crypto industry.

Initially, the US SEC filed the case against Ripple in Dec 2020. Through the lawsuit, the SEC claimed that the company’ executives sold $1.3 billion worth of XRP tokens, which was not legal because the XRP token design was much similar to security assets, and selling unregistered securities publicly was another violation of Securities Act. 

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