Two other large American crypto trading platforms will forego XRP in the future because of the SEC lawsuit against Ripple.
The mainstream trading platform eToro and the American crypto exchange Binance.US have now also decided to remove the Ripple cryptocurrency XRP entirely from their listings
Accordingly, eToro initially reported on Thursday that XRP trading on its own platform will be discontinued from January 3, 2021. Users who still have open trades in the crypto currency must close their positions within 3 weeks.
Binance.US, the American offshoot of the market-leading crypto exchange Binance, will not close its XRP trading until January 13, 2021.
Binance.US and eToro are doing the same to many other crypto exchanges such as Coinbase and Bittrex , which have already made XRP inaccessible to the American market. Coinbase has already been sued by a crypto trader who accuses the trading platform of deliberately offering an unregistered security for trading with XRP.
The background to the XRP exit of the crypto exchanges is that the American Securities and Exchange Commission (SEC) has filed a lawsuit against XRP publisher Ripple, in which it accuses the crypto payment service provider of a massive violation of securities law. This could result in a drastic change in the legal situation regarding XRP, at least for the USA, which is why the country’s platforms are taking the cryptocurrency out of trading as a precaution.
Some American investment firms that are invested in XRP have therefore now closed their positions
The large crypto asset management company Grayscale sold almost $ 5.77 million to XRP after the indictment became known . Asset management company Bitwise has also sold all of its XRP assets and removed the cryptocurrency from its index fund.
Ripple is nevertheless ready to fight and wants to defend itself against the SEC lawsuit . Accordingly, the crypto payment service provider calls on its investors not to blindly follow the argumentation of the stock exchange regulator.