
- John Deaton’s leadership in customer recovery amid Linqto’s bankruptcy.
- Linqto customers have prioritization in asset recovery.
- No impact on major crypto networks like ETH or BTC.
John Deaton, a prominent attorney, is advocating for Linqto customers amid its bankruptcy, ensuring their interests are prioritized. This follows scrutiny and investigations involving Linqto’s leadership over allegations of share price manipulation.
Linqto’s bankruptcy is significant for the crypto community as customer investments are prioritized over equity shareholders, drawing parallels to past crypto bankruptcies with differing outcomes.
John Deaton, known for his advocacy of XRP holders, is leading the charge for Linqto customers. He has promised to protect their investments, noting the company’s SPVs have maintained substantial value. The former CEO of Linqto is under US regulatory scrutiny for purported share price manipulation. Ripple, associated through Linqto’s SPVs, has stated they hold no direct ties with the company.
The immediate effect is on Linqto users, primarily those invested through SPVs in companies like Ripple and Circle. John Deaton emphasizes customer recovery, contrasting with past bankruptcy recoveries affected by large creditor claims. Financial implications are hopeful as major SPV assets are secure, offering potential for full recovery and gains. The US SEC investigates further regulatory concerns, focusing on Linqto’s former CEO’s activities.
Given secured assets within SPVs, Linqto customers might witness positive outcomes with recovery possibly exceeding initial investments. Deaton assures Linqto’s structure benefits customers over equity shareholders, a deviation from previous crypto bankruptcy cases.
My commitment is to ensure that Linqto’s customers—many of whom put their life savings into these SPVs—are prioritized in any resolution. I will fight until they get what they deserve. – John Deaton, Attorney