Is It The Beginning Of The End For Ripple (XRP)?

Ripple (XRP) has been in the news for weeks now and has faced an immense amount of pressure in the market. The cryptocurrency which was once listed as the top cryptocurrency and placed a secured position with Bitcoin, and Ethereum followed by XRP as the third-largest cryptocurrency, is now sitting on the current price of $0.37. The top cryptocurrencies are swinging on their all-time-highs while the competitors that placed the later position have now crossed Ripple.

The lawsuit by the SEC — U.S. Securities and Exchange Commission brought uncertainty about the cryptocurrency that led XRP to fall. The lawsuit alleges XRP — a digital asset of Ripple Labs Inc. to be as security than a currency and hence should be registered under the approval of the U.S. securities regulator. The complaint filed against Ripple alleges as “unregistered securities offering”. The lawsuit alleges Ripple to have raised $1.3 billion since 2013 with reference to unregistered securities offerings.

While on the other note, Ripple has denied the claims stating that XRP is just a currency like the other ones in the crypto market.

However, the lawsuit on Ripple resulted in price tumble as crypto traders are not certain about what to expect from the currency. Many cryptocurrency exchanges such as OKCoin, Bitstamp, Coinbase and Bittrex have either suspended or delisted the cryptocurrency.

Siddharth Menon, the co-founder and chief operating officer of WazirX said, “Ripple (XRP) is one of the most popular cryptocurrencies. It has also been among the top traded tokens on WazirX. SEC’s lawsuit against Ripple is shocking. Given the uncertainty of this situation, we will continue monitoring the lawsuit development and then take the necessary steps”.