Pro-XRP Lawyer John Deaton Vows Accountability for XRP Investors’ Losses

• John Deaton pledges to hold the SEC accountable for $15B in XRP investor losses.
• Deaton proposes bills to prevent SEC conflicts and regulatory overreach in crypto cases.
• SEC clarifies stance on crypto assets amid criticism from Deaton and the XRP community.

John Deaton, a prominent pro-XRP lawyer, has made a significant promise to hold the U.S. Securities and Exchange Commission (SEC) accountable for the $15 billion loss that XRP investors allegedly incurred due to the Ripple lawsuit. 

Deaton, who has been a vocal advocate for the XRP community, is also running for a Senate seat and has outlined his intentions to address what he describes as the SEC’s overreach in the case.

In a recent social media post, Deaton reaffirmed his commitment to representing the interests of the 75,000 small XRP investors who were adversely affected by the SEC’s lawsuit against Ripple. He emphasized that these investors suffered substantial financial losses, which he attributes to the SEC’s actions. According to Deaton, the SEC’s conduct during the lawsuit not only harmed XRP’s market performance but also violated long-standing legal precedents.

Deaton, who served as amicus counsel for these investors during the lawsuit, highlighted that he did so without charge, driven by a sense of duty to protect their interests. He argues that the SEC’s approach to the Ripple case was more focused on winning the lawsuit than safeguarding investors, a mandate that the SEC is legally required to fulfill.

As part of his campaign for the Senate, Deaton has proposed two legislative measures aimed at reforming regulatory practices within the SEC.

The first bill seeks to expose instances of regulatory capture within the Commission, while the second bill proposes a statutory bar preventing regulators from immediately joining industries they previously oversaw. 

According to Deaton, these measures are necessary to prevent conflicts of interest and ensure that regulatory bodies act in the public’s best interest.

Similary, the SEC recently clarified its position on the classification of crypto assets as securities. In its proposed amended complaint against Binance, the SEC acknowledged potential confusion arising from its use of the term “crypto-assets securities,” clarifying that this classification was intended to refer to the nature of the assets within investment contracts, not the assets themselves.

Deaton also criticized Senator Elizabeth Warren, noting that she did not intervene in the Ripple case despite representing a significant number of XRP holders in Massachusetts. Warren, known for her anti-crypto stance, did not respond to Deaton’s requests for action, which Deaton sees as a missed opportunity to protect her constituents’ interests.