Attorney Deaton asks XRP enthusiasts to become friends with SEC enemies out of a sheer need for survival.
In a recent tweet, CryptoLaw founder John Deaton commented on a pertinent issue regarding the strained relationship between XRP enthusiasts and San Francisco-based crypto exchange Coinbase.
XRP Holders Furious at Coinbase
It is worth noting that XRP community members have been furious at Coinbase for halting support for XRP trading on its platform. The exchange said its decision to halt support for XRP trading was due to the SEC’s enforcement action against Ripple.
Coinbase has refused to reconsider its decision despite calls from the XRP community. This has prompted many XRP enthusiasts to consider Coinbase an enemy of the sixth-largest cryptocurrency by market capitalization.
In the wake of the meeting between Coinbase Chief Legal Officer Paul Grewal and Ripple’s legal team, some XRP community members expressed anger toward the leading cryptocurrency exchange.
Many believe Coinbase requests Ripple’s help to defend itself against the SEC’s recent enforcement action. Recall that the SEC issued a Wells Notice to Coinbase in February, a move that suggests the regulator is planning to take legal actions against the exchange for a possible violation of securities laws.
However, some XRP enthusiasts have asked Ripple not to help Coinbase until the exchange relists the coin.
Deaton Reacts
Reacting to the development, Deaton, who represents thousands of XRP holders as amicus curiae in the SEC vs. Ripple lawsuit, says he understands why many XRP enthusiasts do not consider Coinbase as a friend.
The seasoned lawyer noted a clear distinction between not being friends with someone and being the person’s enemy.
Citing an ancient proverb, Deaton explained that out of a sheer need to survive, “the enemy of my enemy becomes my friend.”
About the picture between Alderoty and Grewal, Deaton said he has been hearing that a picture is worth more than a thousand XRP.
Many #XRPHolders don’t view @coinbase as a friend. I get it. I understand why. But not being a friend is not the same as being an enemy. And sometimes, out a sheer need for survival, the enemy of my enemy becomes my friend.
I hear a picture can be worth over a thousand #XRP. https://t.co/wUPv3DshzJ pic.twitter.com/0ztYBg8iKZ
— John E Deaton (@JohnEDeaton1) May 4, 2023
It is worth noting that both Ripple and Coinbase face a common enemy- the United States Securities and Exchange Commission. The SEC alleges that both companies have violated securities laws via their offerings.
While the SEC’s lawsuit against Ripple is approaching its end, the regulator is still considering whether to charge the San Francisco-based exchange.
Deaton’s remark comes from his interview with Coinbase’s Chief Legal Officer. The discussion will be held on May 9, 2023, at 7 PM (UTC) and streamed on all CryptoLaw’s platforms, including Twitter and YouTube.
Attorney Morgan Says XRP Holders Can Still Support and Criticize Coinbase
Meanwhile, Deaton’s comment has prompted reactions from XRP community members. Attorney Bill Morgan, an Australian-based lawyer, joined other XRP enthusiasts in reacting to the tweet.
Per Morgan, XRP holders have the right not to see Coinbase as a friend and still support the exchange’s legal battle against the SEC while criticizing the exchange’s decision to halt XRP secondary market trading.
XRP holders can consider Coinbase is not a friend but still support its meritorious petition for a writ of mandamus and defense to any SEC enforcement action while criticising its now hopelessly inconsistent position in only halting secondary market trading of XRP on its exchange https://t.co/E4IOVZdesb
— bill morgan (@Belisarius2020) May 5, 2023
Morgan has been vocal about Coinbase’s decision to delist XRP. Recall that Coinbase argued, in its response to the SEC’s Wells Notice, that it uses robust listing criteria to ensure that it does not support the trading of crypto assets that constitute a security.
The pro-XRP lawyer believes the argument is flawed because Coinbase decided to list, delist, and not relist XRP. He asserted that the exchange’s decision to delist XRP in January 2021 might hurt its fair notice defense to a claim by the SEC.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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