TL;DR Breakdown
- Kraken suspends XRP trading.
- Only users in the US are affected.
A lot of crypto exchanges have announced their plans to suspend XRP trading, and San-Fransisco exchange firm Kraken has joined the pack.
The exchange firm fixed suspending XRP trade on its platform for the end of January (29th). However, only US residents would be affected by this new directive. Kraken users outside the country would still be able to trade the crypto after the fixed date.
“Clients residing in other countries are not affected. XRP markets will continue to operate uninterrupted for clients outside the United States”.
Similar to why other exchanges suspended trading the coin, Kraken also said it would suspend XRP owing to the recent SEC filing against Ripple Labs Inc.
Kraken FAQ list on XRP suspension
However, the firm said that deposit, hodling, and withdrawal of XRP after January 29 will still be possible; however, trading it with other pairs of crypto would seize from the 29th.
Kraken also answered that they would continue to monitor the SEC’s filing situation and adapt according to any new developments. It means that there is still no particular date when XRP will be released for trading.
Lastly, the exchange said XRP suspension does not affect plans regarding the Spark token airdrop.
Ripple, XRP deep in SEC lawsuit
SEC had filed a lawsuit against Ripple’s XRP and executive of the firms highlighting that XRP is not an asset but rather a security.
The regulators claimed that the company sold $1.2 billion of unregistered securities in the form of XRP through its platform.
Since the American regulators slammed Ripple the lawsuit, things have nosedived for XRP. The coin has plunged serially with little or no significant rise. It has also lost its spot as the third-largest cryptocurrency and slipped further today, again ranking number 5 in the list of top cryptocurrencies.
Several crypto exchanges like Coinbase, Binance U.S, Bitterex, and now Kraken have all decided to stop trading the coin pending what happens as regards its current debacle with the SEC.
