Attorney John Deaton Represents 75,000 XRP Holders in Ripple Lawsuit Against SEC

Attorney John Deaton is representing approximately 75,000 XRP holders in the ongoing Ripple lawsuit against the U.S. Securities and Exchange Commission (SEC). He is preparing for oral arguments on behalf of individual customers, which will take place on January 17, 2024. These arguments are in response to crypto exchange Coinbase's motion for judgment, which is being heard in court.

Coinbase argues that the transactions in question do not qualify as investment contracts and that staking services do not involve the investment of money. They also claim that digital assets cannot be considered securities. The judge has scheduled the oral arguments for January 17, 2024, in New York. Coinbase's main argument is that the reasoning for considering digital tokens as securities does not apply.

John Deaton had previously invited interested customers to join an amicus curiae, which is a friend of the court, in the lawsuit against the SEC. Around 5,000 users have joined the list for potential participation. The customers' amicus filing will also be considered during the motion to dismiss, which is scheduled for early 2024.

Coinbase has been seeking a legislative approach to address the SEC's enforcement-only approach. They have called for United States lawmakers to intervene and prevent the migration of digital asset innovation overseas. The exchange's management made this request prior to the hearing of SEC Chair Gary Gensler before the US Senate Banking Committee in September 2023.