Ripple’s hard days got worse. After the fintech company was the subject an SEC lawsuit over its iconic XRP symbol last week, Coinbase has announced in a blog post on Tuesday that transactions with Ripple would be suspended on its platform.
According to the blog, Ripple fans can continue to trade the token in a limited capacity until the XRP suspension takes effect on January 19. Coinbase noted that this would not prevent its customers from accessing their XRP wallets, nor would it prevent them from using the same wallets for daily deposits and withdrawals.
Getting the boot from the biggest digital currency exchange in the country is a rather serious rejection – and which is aggravated by previous bans on the package OKCoin and Bitstamp, two medium-sized foreign exchange exchanges that cut ties immediately after the SEC process. The value of XRP on the Coinbase site has been in free fall over the past week, dropping more than half of its valuation before the SEC spit came to light.
For those in need of refreshment, the SEC’s main claim was that Ripple spent the last seven years selling XRP as currency, when in fact it should have been classified. as a security over time and subject to the types of investor-oriented public disclosures that are required of the securities so that these investors can assess the risks involved. The SEC said Ripple investors had been kept in the dark for the past seven years, the company had raised “at least” $ 1.38 billion and continued to use those funds to fuel business operations “without disclosing how disentangle”. said the SEC.
In response to these allegations, Ripple CEO Brad Garlinghouse initially protected XRP’s currency title in a series of tweets before turning into a conspiratorial diatribe that claimed – among other things – that the Chinese government had some control over bitcoin and ether cryptocurrencies. We contacted Ripple for comments and we will update if we hear back.
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