The United States (US) Securities and Exchange Commission successfully launched several investigations on Coinbase, but XRP's lawyers stated that the Commission used the Wahi case to justify 9 cryptocurrency assets listed on the exchange as securities.
According to John Deaton, the attorney for XRP holders in the SEC VS Ripple lawsuit, the commission has learned a lot from Ripple's legal team, and the SEC now understands that XRP traded today is a "security".
Meanwhile, he argued that Coinbase and Kraken should delist the XRP token and should file a motion to intervene, however the court may refuse to grant the motion but will still allow amicus status.
Therefore, Coinbase took the safe option by delisting XRP from its platform.
In fact, the SEC chairman does not want to meet with XRP's lawyers even though it will sue him if it goes ahead with the loan product.
At the same time, Deaton wondered why the SEC didn't sue Coinbase because his company also allegedly listed 9 securities similar to the Wahi lawsuit.
He added that he felt Gensler and the SEC were not ready yet because they were in the process of building a case behind the administration.
Overall, XRP lawyers called Wahi's case a classic fraud and if the 9 alleged tokens are illegal securities as the Commission alleges, the tokens will cost investors who bought them.
