Towards the end of 2020, it became known that the US Securities and Exchange Commission (SEC) is charging Ripple. The SEC accuses Ripple of violating securities laws. Thus, the SEC indirectly makes it clear that they classify Ripple as a security and not as a currency.
As a result, some crypto exchanges such as Coinbase, Kraken and Binance were forced to delist the cryptocurrency XRP. However, the XRP market has been flourishing for a few days. For one thing, there is a recent twist in the SEC lawsuit, and for another, the rumor is circulating that XRP will resume at Coinbase.
- SEC Lawsuit:
As the trial progressed, the arguments of Ripple’s defense became more and more convincing. At the same time, the SEC’s position seems to be weakening. At the end of last month there was a partial success. The judge granted the company’s request to temporarily seal four documents and at the same time instruct the two parties to agree on redactions.
- Coinbase Listing:
As already mentioned, Coinbase had stopped trading XRP as a precaution. According to the latest findings, according to the SEC, only Ripple is in the obligation. So, crypto exchanges like Binance, Coinbase, and Kraken would not be in violation of securities law if they sold XRP through their exchange platforms.