Attorney John Deaton recently shared an important update on X (formerly Twitter) about the ongoing LINQTO case. He said he’s asking the court to apply something called a “Constructive Trust” in the case related to the DIP Loan. This would help make sure that no one unfairly benefits and that any money or assets go to the people who rightfully deserve them.
The main issue being discussed in court on August 6 is about moving the case from Texas to Delaware. This motion was filed by a shareholder group called Sapien Group, who wants the case to be heard in a different state.
However, Deaton has filed a separate class action lawsuit against LINQTO’s founder, William Sarris. He claims the company sold unlicensed securities in July without giving investors enough information, which misled thousands of users. His goal is to help those users get their money back.
Some people on social media thought that the August 6 hearing was about Deaton’s objections to a $18 million Ripple sale or the DIP loan. But Deaton clarified that those issues would actually be discussed at a later hearing on August 17.
While dealing with LINQTO, Deaton is also continuing to back Ripple Labs in their legal fight with the U.S. Securities and Exchange Commission (SEC). The SEC previously said that Ripple had raised $1.3 billion by selling XRP as an unregistered security.
He has filed many legal briefs in Ripple’s favor and continues to defend XRP holders. The case has been going on for nearly five years, and a key update is expected when the SEC files a status report on August 15.
The LINQTO case involves allegations of selling unlicensed securities and a dispute over transferring the case from Texas to Delaware courts.
Key LINQTO matters involving Ripple’s $18M sale and DIP loan will be addressed at an August 17 hearing, not the August 6 proceeding.
CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors.
All opinions and insights shared represent the author's own views on current market conditions. Please do your own research before making investment decisions. Neither the writer nor the publication assumes responsibility for your financial choices.
Sponsored content and affiliate links may appear on our site. Advertisements are marked clearly, and our editorial content remains entirely independent from our ad partners.
Between September 29 and October 3, Bitcoin spot ETFs saw a massive net inflow of…
Top crypto coins like ETH and BTC are steadily rising in value, but the gains…
India Central Bureau of Investigation (CBI) has acted at the behest of the U.S. Department…
Hong Kong’s top financial regulator, Julia Leung, is reportedly set to receive another three-year term…
Bitcoin has smashed its previous all-time high, soaring to $125,559 in the first week of…
Binance Coin (BNB) has reached a new all-time high, crossing the $1,200 mark for the…