Ladan Stewart, a lawyer who represented the United States Securities and Exchange Commission (SEC) in its enforcement case against Ripple, has joined a law firm that frequently defends crypto companies.
In a press release on February 21, the law firm White & Case announced that Stewart had become a partner in their New York practice, citing her experience in crypto enforcement cases. Stewart had played a role in litigating the SEC’s case against Ripple, which was filed in December 2020. She withdrew as an attorney of record in January after leaving her position at the SEC.
Joel Cohen, the head of global white-collar practice at White & Case, commented, “Ladan’s recent position as the head of the SEC’s specialized crypto and cyber litigation unit is a valuable asset given the increased regulatory scrutiny of the crypto industry in recent years. Ladan is well-equipped to advise players in the crypto industry and defend them against regulatory or private actions.”
The law firm has represented numerous crypto firms in important cases, including those involving the SEC. A partner at White & Case represented provisional liquidators overseeing FTX’s operations in the Bahamas after the exchange’s collapse in November 2022, and attorneys have appeared for Celsius’ official creditor committee.
Nicole Erb, a partner at White & Case, suggested that Stewart may represent crypto firms and utilize her extensive experience at the SEC’s Division of Enforcement to advise clients who are under scrutiny by the commission. The possibility of Stewart appearing opposite her former SEC colleagues in a crypto enforcement case has raised concerns among lawmakers regarding the movement of former government officials into the digital asset industry.
Stewart spoke with Cointelegraph and emphasized the importance of having advisors with knowledge of how regulators like the SEC approach crypto and fintech issues. She stated, “I actually think it’s a really positive thing when people spend time in government and then go back to the private sector because they can really share certain expertise and skill set that the private sector otherwise wouldn’t be privy to.”
Stewart acknowledged the potential for 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. Stewart had served as counsel at 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 in comparison to traditional financial institutions.