u.today
XRP, ADA and ALGO investors could potentially join Coinbase's defense, according to XRP-friendly lawyer John E. Deaton.
Deaton's statements come as Coinbase files a motion to dismiss the SEC lawsuit against it, leveraging the Major Questions Doctrine, a legal argument that Deaton suggests has "real teeth."
The SEC's case against Coinbase centers on the claim that the crypto exchange should have registered as a securities exchange, broker and clearing agency under federal securities laws. This is a position Coinbase contests fiercely.
In light of these developments, Deaton expects numerous amici to request permission to file an amicus brief in the case, particularly those who dispute the SEC's classification of XRP, ADA, ALGO and 64 other digital assets as securities in legal filings.
The lawyer revealed that there is a growing number of individuals — currently approaching 2,000 — who wish to join as potential amici in support of Coinbase.
As reported by U.Today, Coinbase's motion asserts that the SEC's lawsuit, alleging failure to register and calling several traded tokens securities, contradicts earlier agreements and is a mere shift in the SEC's stance, not prompted by any changes in Coinbase's business or new information, and thus violates due process and the constitutional separation of powers.