- Ripple said all of its services in the U.S. will keep running.
- The corporation notes that, under simple regulatory guidelines, most XRP trade volumes occur beyond America.
- Ripple claims the “innocent” retail XRP owners would be affected by the SEC
Ripple has claimed that it would not impair its right to work in the United States through the ongoing legal battle.
Ripple Will Function in the U.S.
On Dec. 29, Ripple released a announcement referring to the legislative claims of the Security and Exchange Commission and the resulting numerous closures of exchange trading. The firm has been accused with running an unlicensed listing of shares.
“Ripple will continue to operate and support all products and customers in the U.S. and globally” given the charges, Ripple added. The business explained that U.S.-based businesses and platforms that halt XRP trading would not influence its activities.
In comparison, most XRP trade rates are said to occur outside America. “The majority of our customers aren’t in the U.S., and overall XRP volume is largely traded outside of the U.S.” the firm clarified. “There are clear rules of the road for using XRP in the U.K., Japan, Switzerland, and Singapore, for example.”
Ripple did not discuss whether the lack of on-ramp exchanges would affect its overseas payments offering, On-Demand Liquidity.
Clarity to come further
Ripple criticised the action of the SEC to file a complaint as directly causing injury to XRP retail owners. It also claims that the litigation has led market investors to become confused.
Ripple stated that, “We’ve always said that there is a dangerous lack of regulatory clarity for crypto in the U.S. — [the SEC’s] lawsuit has already affected countless innocent XRP retail holders with no connection to Ripple. It has also needlessly muddied the waters for exchanges, market makers and traders,”
The transaction firm has claimed that it will protect itself against “unproven claims in the tribunal. Legal hearings at the New York Southern District Court will decide from Feb. 22, 2021, whether Ripple’s XRP purchases and distributions represent breaches of security laws.
In the meantime, blockchain businesses such as Coinbase, Bitstamp, OKCoin, Bittrex, BitWise, Crypto.com, and Genesis Trading have opted to avoid XRP trading, resulting in significant asset values drops.
The final decision in the event, ideally, would have much-needed guidance for the crypto community and XRP traders.