Pro-XRP Lawyer John Deaton Reacts To SEC’s Turnaround On Spot Ethereum ETF

Pro-XRP lawyer John Deaton has shared his surprise at the unexpected turnaround in the prospects of approvals for spot Ethereum ETF products. Taking to his X account, John Deaton said he agrees with Charles Gasparino who believes this is the “biggest regulatory 180 in recent SEC history.”

Unexplainable Spot Ethereum ETF Turnaround

The odds of approval of spot Ethereum ETF products at the start of this month stood around around 25% according to Bloomberg Analyst. The scenario changed a few days ago when the odds jumped to 75%.

In his analysis, John Deaton said when the SEC’s regulatory war over the past 4 years is merged with Senator Elizabeth Warren’s anti-crypto stance is considered, this push to approve spot Ethereum ETF is the biggest turnaround possible. The crypto lawyer recanted the role he has played over the past years to bring the results today.

Charlie is 💯 accurate when describing the below scenario as the “biggest regulatory 180 in recent SEC history.” When you consider @ewarren’s reelection promise to build an anti-crypto army, coupled with the regulatory war, waged by @GaryGensler and the @SECGov during the last 4… https://t.co/NdGxZQgFFQ

— John E Deaton (@JohnEDeaton1) May 22, 2024

When SEC Chairman Gary Gensler started his tenure, he inherited the Ripple lawsuit from his predecessor Jay Clayton. It was in this case that John Deaton showcased his deep interest by representing XRP holders. His representation saw Judge Analisa Torres declare in her ruling last year that XRP is not in itself an investment contract.

On this subject of investment contracts, the regulator placed Ethereum on the spotlight as a defaulting token. While it is yet to officially declare the cryptocurrency an investment contract, chatters within the regulatory body suggested that might be the reason for spot Ethereum ETF denial. The market rather saw a turnaround with clarity regarding Ethereum classification still obscure.

The current shift as marked by communications with stakeholders vying for ETH ETF in the ecosystem is attributable to a political shift.

Driving More Fight For Crypto

Many crypto industry leaders believe the regulatory landscape in the United States is now largely political. To join the fight beyond the courtrooms, John Deaton is contesting in the election to displace Senator Elizabeth Warren.

While he has bagged the support of many crypto industry leaders, John Deaton has always expressed confidence in his ability to bring change should he get into politics. Pending then, the industry has a lot of evolution to court, including adjusting to the reality of spot Ethereum ETF trading on national exchanges.

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