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Coinbase v. SEC: XRP Holders' Lawyer Will Not File Amicus Brief, Here's Why

Mon, 08/07/2023 - 10:34
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Godfrey Benjamin
Crypto lawyer John Deaton revealed limits to his role in Coinbase v. SEC suit
Coinbase v. SEC: XRP Holders' Lawyer Will Not File Amicus Brief, Here's Why
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The lawsuit between the duo of Coinbase Global Inc, the biggest crypto trading platform in the United States, and the Securities and Exchange Commission (SEC) is shaping up, with external stakeholders already defining their roles. One of these key stakeholders is pro-XRP attorney John Deaton, who has now revealed what his role will be as he gears up to represent more than 4,200 customers of the embattled exchange.

XRP Holders' Lawyer Wants to Represent Coinbase and Binance Customers: Details

According to Deaton, contrary to general expectations, he will not be filing an amicus brief in the case. With the Aug. 11 deadline to file such a brief fast approaching, Deaton said he is choosing not to make the move because the lawsuit is focused on a "Narrow Issue of Law."

Deaton explained further, saying the argument of Coinbase hinges on the fact that based on precedent, the tokens being tagged by the SEC as securities on its platform are indeed not investment contracts. Deaton said the dismissal of the case or judgment is a matter of the law and is subject to the judge's interpretation at the end of the day.

Comparison with XRP lawsuit

Deaton compared the current Coinbase tussle with that of XRP and Ripple Labs against the SEC.

XRP Holders' Lawyer Wants SEC Chair to 'Stop Ignoring the Law'

The renowned lawyer noted that since the more than 75,000 XRP holders he represents may see the token in question differently than the parent company Ripple, then it becomes quite necessary to have a different perspective through an amicus brief from the perspective of holders.

This caveat is nonexistent for Coinbase users and, as such, negates such a representation. Deaton highlighted that the law is the law irrespective of whose side it favors and that filing any amicus nrief at this time might be considered an attention-seeking move by the court.

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About the author

Godfrey Benjamin is an experienced crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for crypto was birthed when, as a former banker, he discovered the obvious advantages of decentralized money over traditional payments. With his vast experience covering various aspects of Web3, Godfrey's articles has been featured on, Cryptonews and Coingape, among others.