Prominent attorney John Deaton, while representing XRP token holders in the Ripple-SEC case, has taken a significant step by formally filing a notice to appear as Amicus Curiae in the LBRY case. On September 14, 2023, Deaton formally filed the Amicus Curiae Notice of Appearance on behalf of Naomi Brockwell, known as the founder of Crypto Law. Crypto Law is a platform that provides valuable insight into legal and regulatory developments regarding cryptocurrencies in the United States and works in collaboration with Deaton. Deaton has gained a reputation for his commitment to defending the rights of cryptocurrency investors and his active participation in legal processes and discussions regarding cryptocurrency regulations and litigation. His involvement in the LBRY case is considered a significant advancement in his commitment to the cryptocurrency community.
The LBRY case arose when the US SEC initiated legal action against LBRY in March 2021. The SEC alleged that LBRY illegally sold LBC tokens without complying with the agency's registration requirements, as required by law. On September 7, 2023, LBRY filed an appeal with the U.S. Court of Appeals for the First Circuit to challenge the final decision issued on July 11. This decision ordered LBRY to pay a civil penalty and prohibited it from participating in unregistered offerings of crypto asset securities in the future. In July 2023, the U.S. District Court for the District of New Hampshire issued its final judgment for the case between the U.S. SEC and LBRY, finding LBRY's liability for violations of Section 5 of the Securities Act of 1933. The outcome of this case was closely watched due to its potential implications for the ongoing XRP litigation. However, on July 14, 2023, US District Judge Analisa Torres granted summary judgment in favor of Ripple. The decision provides a significant legal victory for Ripple and its supporters by determining that the sale of XRP tokens to retail buyers is not considered securities. John Deaton's involvement as Amicus Curiae in the LBRY case highlights the interconnectedness of legal proceedings in the cryptocurrency space and the growing influence of individuals dedicated to protecting the rights and interests of cryptocurrency investors.