Many Companies Delisted XRP After SEC Lawsuit

Following the official announcement by the US SEC that it would sue Ripple and its executives for selling unregistered securities, several exchanges began to suspend trading in XRP tokens and remove it from the list.

According to the US regulator, Ripple illegally sold over $1.3 bln worth of XRP. CEO Brad GARLINGHOUSE denied these claims, saying XRP is a currency, not a securities and investment agreement. Various exchanges are now looking to delist Ripple. The most recent example is Bitwise Asset Management, a major US crypto fund manager. The fund announced that the Bitwise 10 Crypto Index Fund has liquidated its XRP position and reinvested the income in other portfolio assets.

Meanwhile, the asset price reacted negatively to the news. The former cryptocurrency, which ranked third in terms of market capitalization, dropped to the 4th place, giving way to Tether. XRP price drops from $0.52 to less than $0.31.

Image: Axios