MEXCXRP Tanks 10% to $0.30 After Bitstamp Suspends Trading
Just a day after rallying nearly 37% on Christmas day, Ripple’s XRP is again showing bearish momentum. At press time, the XRP price is down 10% trading at $0.30 with a market cap of 14 billion. The cryptocurrency is down nearly 20% from its $0.37 peak on December 24.
The latest price crash comes after one of the biggest crypto exchanges Bitstamp suspended trading and deposits for U.S. customers of XRP on Friday, December 25. The official announcement from Bitstamp reads:
“In light of the recent SEC filing against Ripple Labs Inc., which alleges that XRP is a security, we are going to halt all trading and deposits of XRP for our US customers on 8 January 2021 at 9 PM UTC. We will closely follow the unfolding situation and continue to adapt accordingly”.
This decision comes after the U.S. SEC slapped a $1.3 billion lawsuit on the San Francisco-based blockchain startup. In the last seven days, XRP has corrected more than 50% hitting a low of $0.23.
Ripple Partners Start Taking A Stand
While Ripple has been defending its stand that XRP is a ‘currency’ and not a ‘security’, its partners have also started reconsidering their relations with Ripple. Ripple’s strong partner and Japanese banking giant SBI Holdings has come out in support of the company. The banking giant said that 90% of its customers and 80% of remittance volumes comes outside the jurisdiction of the US.
On the other hand, Ripple’s other partner MoneyGram has been distancing itself from the company. The international payments platform noted that it has never used Ripple’s on-demand liquidity service XRP tokens or RippleNet for that sake to make any cross-border payments.
“MoneyGram does not utilize the ODL platform or RippleNet for direct transfers of consumer funds – digital or otherwise. Furthermore, MoneyGram is not a party to the SEC action,” the statement read.
MoneyGram also added that it hasn’t received any intimidation from Ripple regarding the lawsuit. It added that there’s no negative impact on its commercial agreement with Ripple. However, it will continue to monitor further developments as the lawsuit evolves. The Ripple vs SEC battle has just begun!
- SBF Team Says “FTX Was Never Bankrupt,” Creditors Receive 120% Repayment
- XRP ETF Coming This November 13 As Canary Capital Submits Updated S-1 By Removing Roadblocks
- Canary XRP ETF Filing Removes SEC Delay Clause, Targets November Launch
- CFTC, SEC Launch ‘New Era of Collaboration’ to Clarify Crypto Rules, End Regulation by Enforcement
- Senate Committee Finalizes Updated Crypto Market Structure Bill Draft, Release Expected In Days
- Cardano Price Risks 20% Crash Amid Death Cross and Falling ADA ETF Odds
- Bitcoin Price Forecast as Trump Cuts Tariffs After US-China Trade Deal
- Analyst Foresees a Parabolic Rally for Pepe Coin Price as Whale Accumulation Intensifies
- Fidelity Amends S-1 for Solana ETF: Is SOL Price Set to Rally?
- Pi Coin Price Targets $0.65 as ISO 20022 Membership Boosts Institutional Confidence
- Ethereum Price Flips BTC in Strategy Shift, Eyes $4500 Level
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
