Coinbase, one of the leading Crypto Exchanges in the world, decided to discontinue trading of XRP in January, 2021. The exchange’s Chief Legal Officer, Paul Grewal, announced the news in a blog post this evening.
This San Francisco based company follows other crypto exchanges such as (OKCoin, Bitstamp and Bitwise, among others ) who have suspended the trading of XRP and will no longer accept any new orders.
Coinbase customers will be able to continue making deposits and withdrawals of XRP to their Coinbase wallets. In addition, XRP will remain listed on Coinbase Wallet and Coinbase Custody.
This negative standing of XRP began on December 22, 2020, when the United States Security & Exchange Commission (SEC) sued Ripple. The SEC alleged Ripple sold XRP as an unregistered security, procuring a profit of more than 1.3 Billion. The result of double negative news of XRP, sent its valued price plummeting 60% in the past 10 days.
Trading of the asset will move to limit only with immediate effect, before being suspended fully on Jan. 19 at 13:00 Eastern Time. The exchange notes that customers will still be able to deposit and withdraw XRP to their Coinbase wallets, and eligible holders will still benefit from the recently announced Spark airdrop. Again, the cryptocurrency is also going to stay listed on Coinbase Wallet and Coinbase Custody.
Nevertheless, it will doubtless be another hit for Ripple and its tokenholders. Coinbase is one of the world’s biggest cryptocurrency exchanges and one of the first places new investors go to buy crypto assets.
In the meantime, Ripple’s CEO, Brad Garlinghouse, stated and believes Ripple will win the legal battle, and also released a document that counters claims brought against Ripple in the SEC lawsuit. Hopefully, Ripple will continue to withstand the magnanimous amount of negativity brought against the California based company. Litigation will dictate the outcome of the lawsuit to Ripple from SEC.
