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XRP No Longer Target for Regulators, Now It's Ethereum (ETH), Lawyer Explains

Thu, 03/16/2023 - 09:41
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Gamza Khanzadaev
John Deaton explains why ETH was picked over XRP to allege in KuCoin case
XRP No Longer Target for Regulators, Now It's Ethereum (ETH), Lawyer Explains
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Pro-crypto lawyer and legal expert John Deaton pointed out that even though XRP was traded on KuCoin, the attorney general chose Ethereum (ETH) for some reason to charge the exchange with selling unregistered securities.

Thousand Ethereum Holders Join Class Suit Against New York State Attorney General

According to Deaton, this action is not coincidental, and regulators, in this case NYAG, are targeting Ethereum and staking in order to eventually shut down all such projects. As an aside, he also cites an excerpt from a case stating that ETH holders can make a profit merely by participating in staking the token. It is a coordinated long game to get a default judgment and a ruling with the wording that Ethereum was sold by the exchange as an unregistered security, says the lawyer.

Crypto holders v. regulators

Earlier, John Deaton initiated a gathering of Ethereum holders for a class action lawsuit against the New York state attorney general. As reported by U.Today, more than a thousand complainants have already joined, but at the moment there are not enough participants from that state directly. In addition to ETH holders, the KuCoin exchange itself has also filed a lawsuit against NYAG.

Ripple Lawsuit: SEC Underestimated 'Fight' Inside XRP Holders, John Deaton Says

A previous class action lawsuit organized by a lawyer concerned the SEC case against Ripple and represented XRP holders. As a result, more than 75,000 complainants were gathered, some of whose testimony was further incorporated into the main case.

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About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.