Pro-crypto lawyer John Deaton files to appear as counsel in the SEC's case against Coinbase

John Deaton, an attorney whose cryptocurrency advocacy is part of his bid to unseat Elizabeth Warren in the U.S. Senate, is now asking to lend a hand to Coinbase customers in the exchange's ongoing lawsuit with the Securities and Exchange Commission. 

In an amicus curiae "friend of the court" appearance document filed later on Friday, Deaton filed to appear as counsel for "4,701 Coinbase customers."  Amicus curiae is a party with an interest in the outcome of a lawsuit and can advise the court.

Deaton has dabbled in crypto lawsuits before, such as filing a petition in 2021 challenging the SEC's claim in its case against Ripple that XRP +1.01% is a security. Deaton declared his candidacy for U.S. Senate earlier this year and has been critical of SEC Chair Gary Gensler's handling of the crypto industry. Deaton could be up against crypto critic Sen. Elizabeth Warren, D-Mass., in the fall if he secures the GOP nomination. 

Coinbase is embroiled in a lawsuit with the SEC after the agency said the platform was unlawfully operating as an exchange, broker and clearing agency. Coinbase had moved to have the case thrown out, but Judge Katherine Polk Failla of New York ruled last month for the case to move forward.

Case management plan

The SEC and Coinbase also submitted their proposed case management plan, which Judge Failla signed on Friday. 

Both sides said settlement discussions had not taken place and agreed to finish "fact discovery" by Oct. 18, 2024, and "expert discovery" by Dec. 20, 2024. 

The next pretrial conference is set for October 24, 2024, according to the plan. 

Coinbase filed an appeal earlier this month, claiming substantial grounds for differences of opinion. If the appeal is allowed to proceed, the remainder of the case will be put on hold in the trial court.