Attorney John E. Deaton, known for his role as amicus curiae in the Ripple vs. SEC case, made a significant revelation regarding his cryptocurrency investments. Deaton, a staunch supporter of XRP, disclosed that his portfolio preferences lean more towards Bitcoin (BTC) and Ethereum (ETH).
Deaton Owns 10x More Bitcoin Than XRP
In a candid statement, Deaton clarified that he was not an angry investor who only wanted to sue the US Securities and Exchange Commission over his personal losses.“ Anyone who has seriously followed me knows this. When I sued the SEC, SEC lawyers like Jorge Tenreiro lied and told the Judge I was a disgruntled XRP holder who was upset because I bet on the wrong token and lost money.”
However, the truth is completely different, as Deaton elaborated yesterday. When the SEC filed the lawsuit against Ripple Labs and its executives on December 22, 2020, Deaton already “made significant money on XRP.” He also added that at the time, he owned three cryptocurrencies.
“XRP was my smallest investment behind BTC and ETH. […] But, I did buy more XRP AFTER the lawsuit because I knew we would win. Plus, It was like betting on myself and betting the judge would follow the law,” Deaton revealed.
The lawyer also expressed his frustration with the SEC’s allegations, underscoring the absurdity and danger of their claims. He clarified his stance on Bitcoin and Ethereum, noting, “One correction: I’ve never moved on from Bitcoin. When I sued the SEC, I owned 10X more in BTC and 4X more in ETH than I did XRP – even though I highlighted the ETH regulatory free pass, as well as the massive conflicts of interests and improprieties involved in the free pass.”
The investment in ETH in particular is likely to come as a surprise to many. Deaton is one of the advocates who believes that Ethereum has received a “free pass” from the US Securities and Exchange Commission through corruption. Thus, the attorney’s involvement in the Ripple case transcends personal investment, focusing on broader implications for the crypto industry.
The Lawyer Bets On Himself
Deaton also elaborated, “Had the SEC limited the allegations to only be against Ripple, Brad Garlinghouse and Chris Larsen, I wouldn’t have sued. Instead, however, the SEC, without a single case of precedent during the 76 years since Howey, to support them, claimed people, with no connection whatsoever to Ripple, who acquired XRP on the secondary market, including in jurisdictions that deemed XRP a non-security, all held an unregistered security.”
Fast forward to today, Deaton’s investment strategy remains diverse, with a clear preference for Bitcoin and Ethereum. “For the record, I still own 10X more in Bitcoin than XRP. I did buy more after the SEC sued because it was like betting on myself and my 75K defacto co-defendants,” he revealed.
Deaton’s statement comes at a pivotal time, following Bitcoin’s recent surge past the $40,000 mark. He concluded with a note of optimism for crypto holders, “Seriously, Congrats to everyone who held during a brutal bear market that saw FTX, Celsius, BlockFi, Voyager, 3AC, the SEC, etc. We all have someone who has said: ‘You’re still into BTC’; ‘Is Bitcoin still around’; ‘My cousin/friend is a financial adviser and said Bitcoin and Crypto is a scam/ponzi’ or similar words. In the future you will hear instead: ‘Man, you’re so damn lucky.’”
At press time, XRP traded at $0.6339.
Featured image from YouTube / CryptoLaw, chart from TradingView.com
