John Deaton Calls SEC More Sembrono Sues Ripple

The US Securities and Exchange Commission has drawn criticism. (Photo; Doc. UToday)

JAKARTA - John Deaton, a lawyer representing XRP holder, has again launched a sharp criticism of the United States Securities and Exchange Commission (SEC) over a monotonous approach to a lawsuit against blockchain-based payment firm Ripple Labs Inc.

In his spotlight, this vocal crypto lawyer said that regulators led by Gary Gensler were too confident in their own versions of the lawsuit that they failed to see any changes that might arise, even after the latest decision from Judge Analyst Torres.

In his latest analysis, John Deaton revealed that he actually expected Judge Analysis Torres to grant the Interlocutory request submitted by the SEC.

"In my view, this step allows the judge to fully explain the reasons behind this case, make it more difficult to file an appeal, and give him the opportunity to handle the things Judge Jed Rakoff has said," Deaton wrote in a recent article in CryptoLaw.

He also added, "Rakoff's judge, who led the SEC vs. Terraform Labs case, rejected the company's request to reject the lawsuit and was not in line with the approach taken by Judge Torres in terms of 'Howey.'"

Furthermore, many cases in the crypto ecosystem are currently interrelated, and each of them can be a precedent for other cases that are still awaiting verdicts.

For example, Do Kwon and the LBRY case are currently building a fully new defense basis based on Judge Torres' decision, which underscores the importance of this case in a larger framework.

In his assessment, Deaton claimed that the appeal filed by the SEC was a 'tax that reflects the despair of a regulator who has lost the case."

Just like Ripple Labs won in XRP's lawsuit last July, Deaton believes that another win will come soon. For the record, the SEC has suffered a number of defeats in recent times, both in the Ripple lawsuit and in legal battles related to the Grayscale Bitcoin ETF.

More and more experts believe that the regulator may work more effectively in the interests of all parties if it begins by changing its regulatory tactics, and this can be started by reviewing their approach in the XRP case that is still ongoing.