CryptoLaw Founder Says SEC Seeks to Control Narrative with Term “Crypto Securities”

CryptoLaw founder John Deaton has called out manipulation on the part of the U.S. Securities and Exchange Commission (SEC) in its use of the term “crypto securities.”

In recent tweets, John Deaton criticizes the agency for trying to control the narrative with the tag “crypto securities” rather than “digital asset security” used in the Ripple and LBRY cases.

As reported by U.Today, SEC chair Gary Gensler gave an update on celebrity Kim Kardashian, who was fined $1.29 million for touting EthereumMax, which turned out to be a rug pull.

The SEC stated on its official Twitter handle that it had announced charges against Kim Kardashian for promoting a “crypto security” offered by EthereumMax without disclosing the payment she received for the promotion.

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John Deaton thinks that the newly coined “crypto securities” term was all about controlling the narrative.

He wrote, “Create, control and perpetuate a narrative Gary Gensler is playing a zero-sum game. If anyone actually read the complaint against Ripple and XRP they would have noticed the SEC was attacking the token itself – the equivalent of saying the oranges in Howey were the securities.”

Ripple left with no support

Over the weekend, private jet charter company TapJets requested the court to file an amicus brief to lend Ripple a helping hand in its legal battle with the U.S. Securities and Exchange Commission.

The brief seeks to explain why XRP should not be labeled a security. TapJets, which accepts XRP in exchange for its services, claims that such a payment option is “vital” since it enables travelers to book flights outside of regular banking hours.

Ripple partner and user I-Remit, a Philippines-based remittance company, also filed an amicus brief to explain XRP’s utility. This comes after the Digital Chamber of Commerce submitted its amicus brief in support of Ripple, which was granted by the court.