dailyhodl.com
Demand for $XRP is bouncing back on digital asset exchanges, according to crypto analytics firm Kaiko.
After a long, drawn-out lawsuit with the U.S. Securities and Exchange Commission (SEC) that ultimately ended in the ruling that $XRP sold on exchanges does not constitute a security, Kaiko says demand for $XRP is back.
“Since last year’s landmark court ruling, which granted Ripple Labs a partial victory against the SEC, demand for $XRP in US markets has grown steadily. The share of US platforms in global $XRP volume has increased from less than 2% to 14% over the past year, matching levels from before the SEC suit.”
According to Kaiko, the inability of top exchanges to allow $XRP trading during the suit resulted in pent-up trader interest that has blossomed since the ruling.
“The summary judgment stated that Ripple’s $XRP sales through secondary trading platforms were not securities transactions, although direct sales to institutional investors were. Following the ruling, several US exchanges, including Coinbase and Gemini, relisted $XRP, releasing pent-up demand from US traders. Ripple’s ongoing legal battle with the U.S. SEC continues to fuel $XRP’s volatility.”
For a point of reference, Kaiko highlights that $XRP’s July price gains outpaced those of Bitcoin ($BTC) by 35% to 9%, just over speculation of an SEC settlement.
“Speculation grew after the SEC amended its Binance complaint and scheduled a closed-door meeting for August 1st. However, the meeting was later canceled, leading to a drop in prices.”
$XRP is worth $0.490 at time of writing, down 18% in the last week, crashing with the rest of the markets. $BTC is down 19% over the same period, currently worth $54,688.