Ripple with XRP token was founded by Christian Larsen in 2012. XRP is a digital asset built for payments.

Pixabay : ripple

Washington D.C., Dec. 22, 2020 —
The Securities and Exchange Commission announced today that it has filed an action against Ripple Labs Inc. and two of its executives, who are also significant security holders, alleging that they raised over $1.3 billion through an unregistered, ongoing digital asset securities offering.

Read at SEC press release https://www.sec.gov/news/press-release/2020-338

News of the action of SEC toward two XRP executives spreads in the cryptocurrency world. XRP is a well know currency that is traded in many major cryptocurrency exchanges. With 100 Billion supply and $ 29 billion market cap by December 1, 2020, XRP price dropped sharply after SEC sueing XRP Labs. Current marketcap is $ 9 billion. XRP price on December 1, 2020 was $ 0.665 and today is $ 0.197. The price can be worse in the next few weeks.

Christian Larsen and Bradley Garlinghouse are also charged of selling unregistered XRP to investors worth $600 M. The selling is failed to comply with US SEC regulatory rules.

XRP VIRTUAL CURRENCY OR CRYPTOCURRENCY

It is not debatable for cryptocurrency enthusiasts that XRP is centralized cryptocurrency or not cryptocurrency. The ideology and the technology is different from all general cryptocurrencies.

Facts about Ripple

• Ripple has non mined 100 billion XRP supply. 39 % are on the market and 61 % on behalf Labs Inc.

• Ripple does not use blockchain as the back up network but it uses Hashtree the patented network by Ripple Labs.

• If Ripple Labs is hacked , it will affect to whol networks and systems because Ripple network is centralized.

• Ripple Labs has full control when and how many XRP should be released in the market. That is different from all cryptocurrency in general where cryptocurrency coin issue is based on mining, or staking rewards.

• Why XRP is more acceptable than most cryptocurrencies for large institution? This is because decentralized technology is rather threat to banks and other big financial companies than a compliant technology. XRP is centralized virtual currency that can collaborate with most banks and other fintech companies.

Refference :https://coinmotion.com/ripple-is-a-centralized-virtual-currency/

Ripple Price

The price of XRP was dumped sharply after the SEC charging to XRP Labs. That is a good news to real cryptocurrency like bitcoin and ethereum because more traders sell XRP so the price plunges to $ 0.19 from $ 0.66. Future of Ripple depends on the Ripple Labs after the SEC Charging. How the Ripple Labs fights in the court. Current days, XRP price still has no certainty because of the Ripple is centralized cryptocurency, the price is very affected by the centralized issue. It is different from decentralized cryptocurrency when many exchanges were hacked, there will be no more effects to bitcoin, eth and other true decentralized cryptocurrencies.

EXCHANGES DELISTING

Many exchanges and wallets do not get involved into the XRP internal problems. They took action to delist XRP. Here are some wallets and exchanges that delisted XRP.

1. Binance

Binance will delist XRP for trading pairs on Januari 13, 2021.

https://www.coindesk.com/binance-us-says-it-will-delist-xrp-on-jan-13

1. Coinbase

Coinbase will suspend XRP in the wallet service.

https://www.coindesk.com/coinbase-suspends-xrp-trading

1. Bittrex

Bittrex is one of the big player of cryptocurrency exchange will also delist XRP

https://www.financemagnates.com/cryptocurrency/news/bittrex-to-delist-all-xrp-pairs-price-slips-to-0-20/

1. Crypto.com

XRP will be delisted from crypto.com

https://blog.crypto.com/xrp-delisting-from-the-crypto-com-app-in-the-u-s/

1. OKCoin

OKCoin will also delist XRP trading pairs on January 4, 2021

https://www.coindesk.com/okcoin-to-suspend-xrp-trading-and-deposits-on-january-4

Other exchanges and wallets that delist XRP are Ziglu, Wirex, Swipewallet, Crosstower, beaxy, Jump trading, Galaxy digital and Bitwise

https://www.coindesk.com/binance-us-says-it-will-delist-xrp-on-jan-13

INVESTORS SPECULATION OVER XRP

XRP labs does not remain silent, his party is taking legal measures to face all charges in court. The pretrial will be held on February 22.

https://www.coindesk.com/ripple-to-meet-with-sec-in-first-pretrial-conference-on-feb-22
As XRP Labs tries to defend from all allegation, XRP price continues to fall. American court may not shut down XRP services but XRP Labs will not comfortable to stay in US. Another choice from XRP labs is that the management will relocate to other country. That is the worst choice taken by XRP management because XRP is centralized cryptocurrency. It is different when the case hit bitcoin. Who is in charge and responsible for bitcoin. When a core developer of bitcoin is caught and banned from operating the service, the nodes of bitcoin still runs because the nodes lay on miners around the world. No central management of bitcoin. Bitcoin is a digital asset that every one can own. XRP is a centralized cryptocurrency. The central server has an issue then all services will be affected. In XRP case, the issue is not from the server but from the management.

Investors are waiting but they will not buy XRP in the market in current weeks. They may come back after the process of XRP facing the trial whatever the result.

Posted Using LeoFinance ^Beta