The US-based crypto exchange Coinbase announced to suspend trading in XRP after US SEC last week charged associated blockchain firm Ripple with conducting a $1.3 billion unregistered securities offering. The SEC named Ripple CEO Brad Garlinghouse and co-founder Chris Larsen in the lawsuit. The crypto exchange giant said trading in XRP was limited from 2.30 pm Pacific time on Monday and would be fully suspended on January 19 at 10 am.
SEC lawsuit causes XRP to fall nearly 60%.
Before the U.S. Securities and Exchanges Commission (SEC) struck Ripple with a lawsuit, XRP had seen its value more than double during the 2020 bull cycle. The 4th ranked cryptocurrency’s price had surged to highs of $0.79 on November 24, with bulls targeting $1.00. However, the SEC lawsuit saw the digital asset’s value plunge by 13% on December 22 and by more than 41% the very next day. Now the crypto exchange giant Coinbase announced to delist the fourth-largest cryptocurrency by market capitalization. The lawsuit has brought several troubles at once for the blockchain firm Ripple.
Coinbase plans to offer an IPO.
The San Francisco-based crypto exchange Coinbase is preparing for a stock market listing and has confidentially applied to the U.S. Securities and Exchange Commission to go public. It would be the first major cryptocurrency exchange to list on the stock market in the United States. Earlier, the SEC has charged two Ripple executives for personal gains they received from the XRP offering. Ripple created and sold XRP, the fourth-biggest cryptocurrency by market value. Coinbase is one of the best-known crypto platforms globally and has more than 35 million users in over 100 countries.