Ladan Stewart, an attorney who previously represented the United States Securities and Exchange Commission (SEC) in its case against Ripple, has joined a law firm that frequently defends crypto companies.
In a press release on February 21, law firm White & Case announced that Stewart has become a partner in their New York office, citing her experience in handling crypto enforcement cases. She played a role in litigating the SEC’s case against Ripple, which was filed in December 2020, and officially withdrew from the case in January after leaving her position at the SEC.
Joel Cohen, the head of global white collar practice at White & Case, emphasized the value of Stewart’s role as the former head of the SEC’s specialized crypto and cyber litigation unit. He believes that her expertise is crucial in light of the increased regulatory scrutiny faced by the crypto industry. Cohen stated, “Ladan is extraordinarily well positioned to counsel crypto industry players and defend them against regulatory or private actions.”
White & Case has represented numerous crypto firms in significant cases, including those involving the SEC. One of their partners represented provisional liquidators overseeing FTX’s operations in the Bahamas after the exchange’s collapse in November 2022, and their attorneys have appeared for Celsius’ official creditor committee.
Nicole Erb, a partner at White & Case, suggested that Stewart may now represent crypto firms and use her extensive experience from her time at the SEC to advise clients who are facing scrutiny from the commission. However, this possibility has raised concerns among lawmakers about former government officials entering the digital asset industry.
Stewart herself believes that it is important for crypto companies and other businesses interested in the crypto and fintech space to seek guidance from individuals with knowledge of how regulators like the SEC approach these issues. She sees the transition from government to the private sector as an opportunity to share expertise and skills that may not otherwise be available.
Stewart acknowledged that there may be potential conflicts of interest but expressed confidence in her ability to manage them. During her time at the SEC, she handled litigation against Ripple, former FTX CEO Sam Bankman-Fried, and Coinbase. She served as counsel in the commission’s enforcement division for approximately eight years before joining White & Case.
The SEC currently has ongoing lawsuits against Binance, Kraken, Ripple, Coinbase, and other firms involved in the digital asset space. The commission has faced criticism for its “regulation by enforcement” approach to crypto, which is seen as more aggressive compared to its handling of traditional financial institutions.