In response to the lawsuit recently filed by SEC (Securities and Exchange Commission) against Ripple and its top two executives, Bitstamp delists XRP for U.S.-based users.
The coin won’t be available for trading or as a deposit method for anyone in the States beginning on January 8, 2021. Bitstamp accounts in other countries will not be affected by the change.
XRP can also be withdrawn from U.S. wallets at any time.
In light of the SEC’s recent filing alleging XRP is a security, we are going to halt XRP trading and deposits for all US customers on January 8, 2021. Other countries are not affected. Read more: https://t.co/RUGtkAjr08
— Bitstamp (@Bitstamp) December 25, 2020
Bitstamp, a top European cryptocurrency exchange, is one of the first exchanges to take action in lite of the company behind XRP getting sued for failing to register the coin with SEC. And if XRP becomes a licensed security, then the exchanges listing the coin for U.S. citizens will also need to be licensed by SEC.
Despite the lawsuit and delisting, XRP is still maintaining itself after taking an initial fall to .26 cents on Christmas Eve, the day after the lawsuit become official. The coin now holds steady at .32 cents with a market cap of 14 billion, making it the 4th largest crypto still.
Bitstamp says, “We will closely follow the unfolding situation and continue to adapt accordingly.” As the lawsuit unfolds, most exchanges will need to act in the moment to make important decisions regarding XRP.