Most crypto traders are unaware that XRP’s developer has a virtual court hearing scheduled for February 22, 2021, to face accusations brought forth by the Securities and Exchange Commission. The lawsuit claims Ripple’s Executive Chairman and CEO exchanged XRP tokens as securities totaling more than one billion dollars. Soon after information about the SEC’s lawsuit spread amongst the crypto market, popular crypto exchanges released announcements regarding delisting XRP token trades. Coinbase and Binance ranked as the first exchange platforms to halt further XRP trades.
Following the renowned crypto platforms’ delisting announcements, XRP tokens crashed approximately twenty-five percent. Ripple Labs has expressed XRP’s longevity in the crypto trade market, no matter what the outcome of the pending SEC lawsuit. On January 15, 2021, Kraken announced XRP token trades would cease starting January 30, but these regulation changes exclusively affect U.S. traders.