XRP News Today: Linqto's Refund Plan Draws Criticism From XRP Lawyer John Deaton

John Deaton, a prominent lawyer known for his advocacy of XRP, has expressed significant concerns regarding Linqto's proposed refund plan. Deaton emphasized that a refund strategy that only returns the original investment amounts would be unjust, as it would allow Linqto to retain the substantial profits that rightfully belong to the investors. He highlighted that his initial $30,000 investment in Circle, which has since grown to $157,000, would be unfairly reduced to the original amount under Linqto's refund strategy. This, he argues, would enable Linqto to benefit from the appreciation in the value of assets like Ripple and Circle.

Deaton's criticism centers on the idea that refunding only the original investment amounts would strip investors of their hard-earned gains. He emphasized that such a move would be unjust, as it would enable Linqto to benefit from the appreciation in the value of assets like Ripple and Circle. Deaton's investment in Ripple, for instance, saw a significant increase when the company offered $175 per share during a buyback in June 2024, far exceeding his average cost of $33 per share. A refund at the original investment price would mean Linqto would keep the profits that investors rightfully earned.

The controversy surrounding Linqto's refund plan has sparked widespread concern among investors. Deaton's warnings have resonated with many, particularly those who have invested in pre-IPO companies through Linqto. The platform, known for providing access to private capital and a 3% stake in Ripple Labs, is now under pressure to restore transparency and protect its over 14,000 users. Deaton has also cautioned investors about the potential for opportunistic third parties to exploit the situation. He advised against making impulsive decisions driven by fear or frustration, urging users to be wary of offers that undervalue their investments. Deaton's stance is clear: while refunds for failed projects might be justified, applying the same logic to successful investments would be both unfair and misleading.

The situation at Linqto has become increasingly contentious, with users demanding answers after the platform froze accounts and suspended operations. Deaton's warnings have added fuel to the fire, as investors fear that Linqto's refund plan could result in significant financial losses. The upcoming detailed exposure of Linqto's operations is expected to shed more light on the controversy and provide clarity for investors.