Ripple Payments To Go Live In US Amid SEC Battle & XRP Hack Fiasco

The renowned blockchain payments firm Ripple Labs Inc. is set to relaunch Ripple Payments in the U.S. after 3 years of shunning itself from the region. The majority of the company’s operations are based outside the U.S. owing to the ongoing legal battle with the Securities and Exchange Commission (SEC) and the broader lack of regulatory clarity. However, according to a recent update, Ripple Payments is planning to roll out solutions for the U.S. in particular.

Ripple Payments Set To Introduce Product Upgrades

In a strategic move, Ripple has decided to break its 3-year silence in the U.S. According to a post on LinkedIn by W. Oliver Segovia, Head of Product Marketing at Ripple, announced that they are set to unveil a series of product updates. These upgrades would be powered by their extensive money transmitter licenses (MTLs) and would target the majority of the U.S. states.

Despite 90% of Ripple’s business thriving internationally, this bold initiative marks a notable return to the US market for Ripple Payments. Moreover, this initiative comes amid legal scrutiny from the SEC and the recent XRP hack, which increases the weight of the announcement.

Earlier, Ripple explored IPO options outside the U.S. and blamed the ‘hostile’ regulators for it. In addition, they noted that they won’t go public in the country anytime soon. Furthermore, a few years ago they shifted operations to other countries and even declared that they would conduct 80% of its hiring outside the States. Hence, the advent of Ripple Payments in the region would mark a grand comeback for the crypto firm.

Also Read: Ripple Locks 800 Mln XRP in Escrow Amid Soaring Whale Activity, What’s Happening?

Legal Battle & XRP Hack

The conclusion of Ripple vs. SEC legal quandary doesn’t seem to be near as both parties have repeatedly contradicted each other’s statements. On January 25, the company submitted a letter to District Magistrate Judge Sarah Netburn, aiming to rectify factual inaccuracies in the SEC’s response to its motion to compel.

Ripple stressed the importance of a sur-reply for a nuanced court ruling. In addition, the firm disputed the SEC’s assertion that it doesn’t contend with burdens in presenting post-complaint contracts. Additionally, the crypto firm highlighted the SEC’s request as “overly burdensome,” stating it would necessitate a new trial.

On the other hand, this week, reports surfaced of a substantial breach at Ripple. Allegations hinted at a $112.5 million loss in XRP tokens due to a wallet hack linked to the address “rJNLz3….ojm.” The incident triggered a 4% drop in XRP’s value at the time, however, XRP has since recovered from the feared onslaught.

In a rapid response, Ripple CEO Brad Garlinghouse refuted the claims, asserting that no wallets on the platform were compromised. Garlinghouse aimed to address the community’s concerns and clarify the organization’s security stance.

Subsequently, it was disclosed that the affected accounts belonged to Chris Larsen, Ripple’s co-founder. Thereafter, Binance froze $4.2 million worth of stolen XRP tokens in the exploiter’s account to assist the ongoing investigation.

Also Read: XRP Price Rally Soon Amid Strong Whale Holdings Despite Ripple Hack