In a scathing critique of the US Securities and Exchange Commission (SEC), renowned pro-XRP lawyer John E. Deaton has unleashed a broadside against what he perceives as systemic corruption, cronyism and a blatant double standard in the regulatory oversight of cryptocurrencies. Deaton is hot answerarticulated via
Murphy’s initial observation pointed out a significant omission in the SEC’s narrative: “The SEC touted the benefits of the guidance it had provided on how to analyze whether crypto tokens are securities. However, they omitted any mention of Bill Hinman's invention of the “sufficiently decentralized” test. “As if it never happened.” This alleged inconsistency set the stage for Deaton's vehement response.
Pro-XRP Lawyer Unpacks ethereum 'Free Pass'
Deaton's statements, although lacking direct names, were clear about his objectives to those well-informed. With a tone of irrefutable conviction, he pulled no punches in his analysis. “If people haven't realized yet, let me help you: The speech (Hinman's speech) was a pure money grab, nothing more, nothing less,” he tweeted.
He asserted that the essence of the issue transcends the technological merits or the ethereum ecosystem. “Whether you believe in eth or whether ethereum is a great technology or ecosystem is not the point,” Deaton said.
He further argued that if the SEC had taken legal action against ethereum, Consensys, Joe Lubin, and Vitalik Buterin, alleging that eth was a security, its reaction would have mirrored the legal stance it took in defense of XRP. “As I said before, if the SEC had sued ethereum… instead of Ripple, Brad Garlinghouse and Chris Larsen, I would have sued the SEC just like I did with XRP,” Deaton stated emphatically.
Deaton also drew attention to the SEC's conspicuous silence on ethereum, highlighting a notable pattern of evasion both before and after Hinman's speech. This pointed observation raises troubling questions about the SEC's fairness and thoroughness in its regulatory oversight.
“Before giving the speech, the SEC 100% refused to discuss any particular crypto token. Since the speech, the SEC has 100% refused to discuss any particular crypto token, including eth. Why hasn't there been an investigation? Deaton questioned, suggesting a lack of consistency and transparency in the SEC's approach.
An era of government corruption
Deaton's critique goes beyond the crypto industry and paints a picture of a broader systemic problem he calls the “Age of Corruption.” In this era, as Deaton describes it, a widespread disregard for ethical standards and conflicts of interest are not only prevalent but expected. He draws parallels to several high-profile incidents, suggesting that the alleged “ethereum free pass” is symptomatic of a larger, more deep-rooted problem.
For example, he notes the alleged actions of members of Congress: “An era in which Congress exempts itself from insider trading laws so that members of Congress, recently informed about a pandemic and a government shutdown, can use that non-public information and cash. get out of the stock market before it crashes, making hundreds of thousands of dollars.”
He doesn't stop there; Deaton also cites the controversial deals involving Nancy Pelosi: “An era in which the Speaker of the House introduces a bill on the House floor that favors credit card companies, like Visa, and shortly thereafter , the president and her husband are offered millions in Pre- Visa shares in the IPO, which are not offered to the public, generate millions of dollars.”
The criticism also encompasses actions by Hunter Biden and Donald Trump, highlighting what Deaton perceives as a blatant misuse of power for personal or family gain: “An era in which the vice president of the United States uses his office and position to secure millions of dollars for your government.” son and his family, but I deny it to the American people when he runs for president.”
Additionally, Deaton points to the dealings of Hillary Clinton and Dr. Scott Gottlieb, suggesting a pattern in which positions of power are leveraged for personal gain or to serve special interests: “An era in which the Secretary of State has a foundation that accepts donations and money from foreign countries and foreign citizens while Secretary of State, and to meet with those donors in her official capacity for the United States.”
XRP Price Falls Further
At press time, XRP was trading at $0.52335, down 16% over the past 12 days.
Featured image from YouTube, chart from TradingView.com
