Bitstamp Suspends XRP Trading And Deposits For Its US Clients

Bitstamp is the first major exchange to suspend XRP trading and deposits following SEC allegations. Other platforms could follow suit.

Bitstamp suspend le XRP

The platform cryptomonaie Bitstamp was announced Saturday, December 26 it will temporarily cease the trading and deposits of XRP for all customers US following the accusations of the Securities and Exchange Commission (SEC):

“In light of the recent SEC complaint against Ripple Labs Inc. alleging that XRP is a security, we will cease all trading and filing of Bitcoin Up for our US clients on January 8, 2021 at 9:00 PM UTC. “

Thus, Bitstamp’s restrictions will only apply to US customers. In addition, XRP withdrawals from clients located in the United States will still be allowed.

Bitstamp is the first major exchange to suspend XRP trading. Smaller platforms such as Beaxy, Cross Tower and OSL have already taken the plunge.

Additionally, there have been rumors that Coinbase has entered into discussions with attorneys about an XRP delinsting. Coinbase is in an awkward position as the exchange is currently preparing to go public with the SEC. Thus, the platform could withdraw XRP as a precautionary measure .

Other reactions

Cryptocurrency fund manager Bitwise also liquidated $ 9.3 million worth of XRP held in its „Crypto Index“:

“Bitwise 10 Crypto Index Fund does not invest in assets that are likely to be considered securities under federal or state laws. “

MoneyGram , the global money transfer service, has also clarified the nature of its partnership with Ripple. In a press release issued on December 23, MoneyGram MoneyGram reveals that it never used Ripple’s counterparty services, namely on-demand liquidity services (ODL) and RippleNet for foreign exchange transactions.

While MoneyGram quickly changed course, Japanese financial group SBI Holdings said the SEC lawsuit does not yet affect its partnership. The partner of Ripple said:

“As far as we know, the lawsuit is ongoing and no injunction has been issued against Ripple, the company continues to operate as usual and continues to expand RippleNet. “

The course XRP increased from $ 0.63 to $ 0.23 , a drop of nearly 63% in one week . XRP is trading at $ 0.276 as of this writing.