Over 70,000 Ripple XRP holders have joined John Deaton's class action lawsuit against the US Securities and Exchange Commission, according to Deaton. The SEC's decision to file a lawsuit against Ripple and its executives for violations of securities law has resulted in financial damage to the asset's investors.
He believes that the impact of the SEC lawsuit on XRP is enough to cause action against the commission.
According to the SEC definition, Deaton said in August 8 that Stellar Lumens XLM should also be classified as a security. XLM was born from XRP and has the same founder, according to him. The commission has been accused of using delay tactics in order to keep pace with the case between the SEC and Ripple. James Filan, an attorney for the SEC, accused the court of wasting the court time after the commission submitted a one-line response to the court saying it took no position on Ripple's request to reopen fact discovery.
The judge ordered that the commission authenticate certain videos Ripple presented containing SEC officials remarks.
Ripple had requested permission to serve subpoenas to platforms holding the videos. The SEC misinterpreted this as a request to reopen discovery, which it is not.