John Deaton, a lawyer recognized for defending the interests of cryptocurrency investors, has offered to testify at a congressional hearing focused on digital assets.
Deaton, notable for his role as amicus counsel for more than 75,000 XRP holders in the Ripple lawsuit and his involvement in the LBRY.com case, indicated his readiness to contribute to the upcoming congressional discussion.
The House Financial Services Committee’s Digital Assets, Financial Technology, and Inclusion Subcommittee has scheduled a hearing on digital assets for January 10. Deaton’s proposal to testify at this hearing arises from his experience in legal cases related to cryptocurrencies.
In a post on Twitter, he underscored his distinct role in championing the rights of individual token holders, differentiating himself from representatives of cryptocurrency companies. In a tweet, Deaton challenged SEC Chairman Gary Gensler’s methods of investor protection and highlighted the contradictory nature of the SEC’s proceedings against Coinbase.
Deaton’s position reflects a broader sentiment among cryptocurrency enthusiasts who believe their interests are overlooked in regulatory debates. The forthcoming hearing is set to concentrate on the Financial Stability Oversight Council’s (FSOC) evolving framework for innovation.
The FSOC has recently underscored the urgency for Congress to implement laws to manage risks related to cryptocurrencies. This includes the essential task of defining and regulating crypto spot markets and stablecoins. In its most recent report, the Council drew attention to persistent issues in the crypto market, such as price instability, excessive leverage, and cybersecurity threats.
The framework set by the FSOC is vital for shaping the regulatory landscape for financial institutions, including those within the cryptocurrency sector. The hearing should illuminate the potential consequences these regulatory adjustments might have on innovation in digital assets.
The hearing could offer a more comprehensive understanding of how regulation affects different participants in the cryptocurrency ecosystem.