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XRP delisted on more platforms following SEC’s Ripple complaint


#Crypto exchanges like #Crypto.com, #Coinbase, and OKCoin said they were suspending trading of the token. XRP “is one foot in the grave,” an expert said.

  • The cryptocurrency exchanges #Crypto.com, #Coinbase, and OKCoin said this week that they were suspending trading of the XRP token following a #Securities and #Exchange #Commission complaint against its developer, #Ripple #Labs.
  • XRP dropped 31% on #Tuesday but had climbed back roughly 23% as of #Thursday.
  • XRP, the coin, “is one foot in the grave,” #Phil #Liu, the chief legal officer at #Arca, told #Business #Insider. “#Ripple, the company, may be insolvent by the end of 2021 if it can’t raise money by selling XRP and its other products aren’t profitable.”
  • The SEC’s lawsuit is against #Ripple, not XRP. #TechCrunch founder #Michael #Arrington said that “whatever happens to #Ripple, XRP will continue to exist,” because it’s “independent of the company.”
  • #Visit #Business #Insider’s homepage for more stories.

#Several cryptocurrency exchanges have delisted trading of the XRP token this week following the #Securities and #Exchange #Commission’s complaint against its developer, #Ripple #Labs.

#Exchanges and finance platforms including #Crypto.com, #Coinbase, and OKCoin said they were suspending trading of the XRP token. #Wirex, a crypto-payments firm, and #Ziglu, an app, followed suit, according to The #Block.

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The SEC complaint accused #Ripple of effectively running a $1.3 billion unregistered offering with its sales of XRP, which the regulator deemed a security and not a cryptocurrency.

“#We have been closely monitoring the news surrounding the #December 22nd SEC lawsuit against #Ripple, the company behind XRP, and two of its key executives,” OKCoin said in a statement on #Monday. “#As the lawsuit proceedings take place, we have determined it is the best course of action to suspend XRP trading and deposits on OKCoin effective #January 4, 2021.”

#Coinbase said that “in light of the SEC’s lawsuit against #Ripple #Labs, #Inc, we have made the decision to suspend the XRP trading pairs on our platform.”

#Read more: #Ron #Baron earned a $4.2 billion windfall just from investing in #Tesla. The legendary investor told us why he still expects a 30-fold return from #Elon #Musk – and shared the biggest lessons and mistakes of his career.

XRP dropped 31% on #Tuesday, losing 75% in value since hitting a two-year high in early #November, when investors took advantage of a weaker US dollar to pile into cryptocurrencies.

#As of #Thursday, the coin has gained roughly 23% since its #Tuesday low.

#Phil #Liu, the chief legal officer at #Arca, said the SEC lawsuit was a risk for the XRP token and a more serious one for #Ripple.

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XRP, the coin, “is one foot in the grave,” #Liu told #Business #Insider. “#Ripple, the company, may be insolvent by the end of 2021 if it can’t raise money by selling XRP and its other products aren’t profitable.

“I don’t see a viable alternative to replace XRP sales except to move out of the US and exclude US investors from buying XRP. They would have to start from scratch, because all XRP profits would be disgorged since they all occurred when #Ripple was a US-based company.”

#However, #Michael #Arrington, the founder of #TechCrunch and a partner at #Arrington XRP #Capital, said XRP would still be a viable token, as #Ripple doesn’t own all of XRP. The SEC lawsuit is against #Ripple, not the XRP token.

“#Whatever happens to #Ripple, XRP will continue to exist. #It exists independent of the company. #It exists on a distributed ledger,” #Arrington said.

#Arrington said he believed the SEC wanted to bring the case to court to establish clearer guidance about cryptocurrencies.

#He also said it was unclear whether the rest of the SEC or the #Justice #Department felt the same way about #Ripple as outgoing SEC #Chairman #Jay #Clayton did.

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#Chris #LaVigne, a partner at the law firm #Withers, said it was hard to say what #Clayton’s suit means for the future of cryptocurrency regulation.

“#This suit was filed just before a change in administration. #It is a suspiring action in that respect,” #LaVigne told #Business #Insider. “There was clearly no immediate need for an enforcement action, and it is unclear how the new administration will view the lawsuit or the commission’s general enforcement agenda in this area.”

#Read more: 10 #Wall #Street investors, strategists, and executives told us the best books they picked up in 2020 and why they recommend everyone should read them



[ source link ]
https://www.businessinsider.fr/us/xrp-delisted-ripple-sec-complaint-coinbase-crypto-okcoin-trading-platform-2020-12

#XRP #delisted #platforms #SECs ##Ripple #complaint

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