Pro-XRP lawyer representing thousands of XRP holders as Amicus Curiae has slammed the US SEC\u2019s position in the ongoing Ripple lawsuit.<\/p>\n
In a\u00a0tweet, John Deaton claims the SEC undermined its once credible case by quoting an unrelated legal document. Deaton believes the document, dubbed ECF 640, supported his claim when the SEC stated that the XRP purchase was an investment in a \u201ccommon enterprise.\u201d<\/p>\n
\u201cThe quoted legal document supports [what I said] by stating that even if some country recognizes XRP as fiat currency in the future, it would still be considered a security.\u201d<\/p>\n
If El Salvador recognized XRP as legal tender, like #BTC<\/a> \u2013 the SEC claims it still a security. https:\/\/t.co\/fI1Ofn23iN<\/a><\/p>\n \u2014 John E Deaton (@JohnEDeaton1) May 5, 2023<\/a><\/p>\n\n According to Deaton, the SEC will still regard XRP as a security even if other countries recognize it as a legal tender.<\/p>\n Deaton argued<\/a> that the SEC cannot boycott the Howey test by alleging that every XRP sale (before, now, and future) meets all the test\u2019s prongs. He noted that no underlying asset in an investment contract was ever tagged security since the Howey test started 76 years ago.<\/p>\n The legal expert further explained that no investment contract exists without a legal relationship between the buyer and promoter. Deaton\u2019s tweets suggest the SEC\u2019s argument is absurd and lacks credibility.\u00a0<\/p>\n Deaton cited his Amici motion to the federal judge presiding over the Ripple case, Judge Torres. He addressed the SEC\u2019s argument as a shorthand and analytically lazy contention, slamming the agency for tagging every XRP sale, from its ICO to the present, financial security.\u00a0<\/p>\n In the lawyer\u2019s opinion, the scope of the SEC\u2019s arguments is overstretched and indefinable in time and space.<\/p>\n Deaton\u2019s tweets attracted other crypto proponents. While responding, a Twitter user @Kashta9<\/a> said he thinks the SEC\u2019s position in the lawsuit is that all XRP sales, including those in the secondary market, are investment contracts. Other respondents said<\/a> they don\u2019t care about anybody\u2019s opinion but the judge\u2019s.<\/p>\n Related Reading: Why Is Bitcoin And Crypto Up Today?<\/a><\/p>\n Deaton ended his argument by expressing<\/a> his confidence in Judge Torres\u2019 ability to recognize and act according to the massive public interest in the XRP lawsuit.<\/p>\n The Ripple lawsuit is among the most viral topics in the crypto industry, with many anticipating a ruling in Q2 2023. A total of 75,000 XRP holders from the United States and 143 countries joined the Ripple lawsuit. However, no one can predict if it will become security until the judge pronounces judgment.<\/p>\n Featured image from Pexels and chart from TradingView<\/p>","protected":false},"excerpt":{"rendered":" <\/p>\n Pro-XRP lawyer representing thousands of XRP holders as Amicus Curiae has slammed the US SEC\u2019s position in the ongoing Ripple lawsuit.<\/p>\n In a\u00a0tweet, John Deaton claims the SEC undermined its once credible case by quoting an unrelated legal document. Deaton believes the document, dubbed ECF 640, supported his claim when the SEC stated that the XRP purchase was an investment in a \u201ccommon enterprise.\u201d<\/p>\n \u201cThe quoted legal document supports [what I said] by stating that even if some country recognizes XRP as fiat currency in the future, it would still be considered a security.\u201d<\/p>\n If El Salvador recognized XRP as legal tender, like #BTC<\/a> \u2013 the SEC claims it still a security. https:\/\/t.co\/fI1Ofn23iN<\/a><\/p>\n \u2014 John E Deaton (@JohnEDeaton1) May 5, 2023<\/a><\/p>\n According to Deaton, the SEC will still regard XRP as a security even if other countries recognize it as a legal tender.<\/p>\n Deaton argued<\/a> that the SEC cannot boycott the Howey test by alleging that every XRP sale (before, now, and future) meets all the test\u2019s prongs. He noted that no underlying asset in an investment contract was ever tagged security since the Howey test started 76 years ago.<\/p>\n The legal expert further explained that no investment contract exists without a legal relationship between the buyer and promoter. Deaton\u2019s tweets suggest the SEC\u2019s argument is absurd and lacks credibility.\u00a0<\/p>\n Deaton cited his Amici motion to the federal judge presiding over the Ripple case, Judge Torres. He addressed the SEC\u2019s argument as a shorthand and analytically lazy contention, slamming the agency for tagging every XRP sale, from its ICO to the present, financial security.\u00a0<\/p>\n In the lawyer\u2019s opinion, the scope of the SEC\u2019s arguments is overstretched and indefinable in time and space.<\/p>\n Deaton\u2019s tweets attracted other crypto proponents. While responding, a Twitter user @Kashta9<\/a> said he thinks the SEC\u2019s position in the lawsuit is that all XRP sales, including those in the secondary market, are investment contracts. Other respondents said<\/a> they don\u2019t care about anybody\u2019s opinion but the judge\u2019s.<\/p>\n Related Reading: Why Is Bitcoin And Crypto Up Today?<\/a><\/p>\nSEC\u2019s XRP Theory Is Indefinable In Time And Space, Says Deaton<\/h2>\n
Community\u2019s Responses to Deaton\u2019s Argument<\/h2>\n
SEC\u2019s XRP Theory Is Indefinable In Time And Space, Says Deaton<\/h2>\n
Community\u2019s Responses to Deaton\u2019s Argument<\/h2>\n