December 6, 2022

Coinbase To Suspend Ripple Trading: XRP Down 60% In 10 Days

2 min read

Veteran cryptocurrency exchange Coinbase announced that it would completely suspend XRP trading by January 2021, following the suit submitted versus Ripple by the U.S Securities and Exchange Commission (SEC).

Coinbase to Suspend XRP Trading

According to an article on Monday (Dec. 28, 2020), Coinbase stated that while XRP trading will be transferring to “restrict only” starting December 28, the exchange is planning to suspend XRP trading on January 19, 2021, 10 AM Pacific time.

In spite of the suspension, Coinbase stated that consumers will still have access to their XRP wallets, adding that it “will stay offered for deposit and withdraw functionality after the trading suspension.”

“Further, consumers will remain qualified for the formerly revealed Spark airdrop (subject to approval in certain jurisdictions), and we will continue to support XRP on Coinbase Custody and Coinbase Wallet.”

Coinbase’s decision comes after the SEC sued Ripple. The U.S. securities watchdog alleged that Ripple was performing unregistered securities offerings to the tune of $1.3 billion. The news as a result tanked the XRP price, triggering the token’s worth to shed another 17% at the time of this composing to a rate of $0.24, and 60% over the past 10 days because the SEC saga had begun.

XRP/USD. Chart by CoinGecko Apart from the XRP price plunging, various cryptocurrency exchanges have taken action because the SEC lawsuit. As reported by CryptoPotato, exchanges like Beaxy, CrossTower, crypto fund manager Bitwise, and Hong Kong crypto exchange OSL have delisted and suspended XRP trading on their platforms.

Another crypto exchange, Bitstamp, just recently announced that it would halt XRP trading and deposits for its U.S.-based consumers. According to the exchange, the suspension will take effect on January 8, 2021.

Meanwhile, Ripple’s CEO, Brad Garlinghouse, specified that the company would fight and win the legal fight. The business also released a file to counter the SEC’s claims.

Amidst the avalanche of negativity surrounding Ripple at the moment, the company appears to have an advocate in its corner. The CEO of SBI Holdings, a financial services business, Yoshitaka Kitao, revealed optimism that Ripple would win the case. The SBI Holdings chief stated:

“Japan’s FSA has actually currently made it clear that XRP is not a security. I’m positive that Ripple will prevail in the last ruling in the United States. SBI Holdings remains an unfaltering partner to Ripple, and anticipates broadening together in Asia.”