According to the suit, the company used misleading tactics and unjustified 60% markups to sell shares in Ripple, Kraken, and other firms. The suit aims to recoup investors’ losses and expose criminal misconduct.
John Deaton is a prominent crypto lawyer and XRP advocate, participating in the SEC v Ripple case
Today, however, Deaton is taking a case of indirect interest to the crypto industry, as he filed a lawsuit against Linqto for fraud in selling Web3-related company stocks.
Linqto is an investment platform, but this case is nonetheless particularly relevant to the crypto community. Deaton alleges that Sarris used a variety of illegal practices to sell stock in Ripple, Kraken, Uphold, and several other crypto firms.
So, what were these alleged violations? The lawsuit claims that Linqto marked up crypto stocks by as much as 60%, scalping customers who wished to invest in Ripple or other companies.
Deaton also accused the firm of creating misleading exemptions, employing illegal sales tactics, and knowingly violating SEC/FINRA regulations to do this.
Just yesterday, Linqto filed for bankruptcy, so Deaton’s lawsuit specifically is targeting founder/CEO William Sarris. He filed this move as a class-action lawsuit, aiming to recoup losses for thousands of retail investors.
By going after Sarris, Deaton can avoid any bankruptcy protections that might shield Linqto, maximizing the chances of recovering user funds.
Naturally, the crypto community reacted with great enthusiasm. Several firms promoted Linqto to the XRP fan community, and this lawsuit might help expose any criminal behavior.
Thanks to Deaton’s reputation as a pro-crypto litigator, observers are expecting positive outcomes.
Still, this whole incident highlights the need for sensible pro-crypto regulation and consumer protection measures. Lawsuits like the Linqto case might help recover lost assets, but it’s better to prevent criminal fraud ahead of time.
The post Pro XRP Lawyer Sues Linqto Founder over Unlicensed Crypto Stock Sales appeared first on bitcoinlinux.
Go to Source
Author: coinmaker
Crypto hardware wallet provider SafePal has disclosed a security breach that exposed the personal information…
Bitcoin fell 47% over the 12 months ending August 14, 2026. Still, the four perpetual…
In the steadily maturing Indian crypto industry, scammers are now systematically approaching users on Instagram,…
The week of August 9 to August 15 delivered another rough stretch for crypto security,…
Key Highlights Chainlink surged 8.2% to $9.47 as spot and derivatives trading activity increased sharply.…
Key Highlights Tether CEO Paolo Ardoino denied that the company is building or planning to…
This website uses cookies.
Read More