The world’s most valuable crypto exchange, Coinbase, recently announced that it wouldn’t allow XRP trading, in response to the United States Securities and Exchange Commission taking legal action against Ripple because of its 19.48% decrease in the last 24 hours.
These are surely unpleasant moments for XRP, as it dropped 20% in value, amid reports coming from Coinbase that it would be halting XRP trading in the coming days.
According to a statement released by Coinbase’s Chief Legal Officer, Paul Grewal, Coinbase disclosed that it was suspending XRP trading starting from January 19 at 10:00 am PST.
The American crypto exchange further explained that “XRP trading may be stopped earlier as needed to maintain the exchange’s market health metrics.
In addition, the suspension will reportedly not affect Ripple-backed Flare Network’s upcoming Spark (FLR) token airdrop.
Coinbase Chief Legal Officer said, “The trading suspension will not affect customers’ access to XRP wallets which will remain available for deposit and withdraw functionality after the trading suspension. We will continue to support XRP on Coinbase Custody and Coinbase Wallet.”
The report also assured its users that the American crypto exchange remained resolute in protecting the interests of its customers in the ever-changing financial ecosystem.
The Chief Legal Officer continued further, assuring coinbase investors, “Coinbase remains committed to being the most trusted platform for trading cryptocurrency. We strive to provide our customers with access to a broad set of assets, all of which are evaluated against our Digital Asset Framework to access factors like security, compliance, and the project’s alignment with our mission of creating an open financial system for the world. We take seriously any decision to change our customers’ access to one of those assets.”
However, many crypto experts further predict that other leading crypto exchanges might fall in line on delisting or suspending the trading of XRP now that a major player like Coinbase has taken a position on the token.