Ripple Shares Secure Amid Linqto Bankruptcy

- Deaton advocates for Ripple’s SPV investors’ priority in Linqto bankruptcy.
- Ripple clarifies no direct relationship with Linqto.
- No impact on crypto, emphasizes focus on private shares.
John Deaton’s reassurance offers stability, clarifying Ripple’s lack of involvement with Linqto amid broader impacts on SPV investors.
Linqto’s legal structure is designed to prioritize its 11,500 SPV investors over creditors. Attorney John Deaton noted the importance of this structure for safeguarding investors. Ripple CEO Brad Garlinghouse confirmed 4.7 million shares were acquired on secondary markets.
Ripple clarified there is no business relationship with Linqto. Garlinghouse stated concerns led Ripple to stop approving secondary market purchases through Linqto in late 2024. The assets in question are Ripple shares, with no direct crypto impacts.
The Linqto bankruptcy primarily concerns private equity shares and not public cryptocurrencies. John Deaton remains vocal in his commitment to prioritize investor claims. Ripple publicly distances itself from any operational connections with the investment platform.
Legal proceedings and regulatory investigations into Linqto’s practices continue. These events could potentially influence future private equity investments in the space. The situation highlights Ripple’s ongoing legal strategy and its separation from Linqto’s insolvency issues.
“Linqto’s legal structure prioritizes 11,500 SPV investors ahead of creditors or shareholders. There’s more hope here than people realize.” – John Deaton, Attorney