Bitstamp has announced that it would soon halt trading XRP for US-based customers. The price has reacted immediately, losing upwards of 25%.
The landslide of negative consequences for Ripple’s native cryptocurrency XRP continues with full force. While investors caught a small break today as it increased to above $0.38, the price has lost more than 25% in an instant as Bitstamp announced it would halt trading and deposits to US customers on January 8th.
In an announcement from earlier today, one of the most popular cryptocurrency exchanges, Bitstamp, has halted trading and deposits for US customers for XRP.
According to the release, this happens “in light of the recent SEC filing against Ripple Labs Inc., which alleges that XRP is a security.”
The change is to come into effect on January 8th, 2021 at 9PM UTC.
However, it’s worth noting that customers from other countries won’t be affected and US-based traders will still be able to withdraw their XRP.
Bitstamp is the first major exchange to take action following the SEC-Ripple fiasco and many community members and experts speculate that others will follow.
As CryptoPotato reported earlier this week, other smaller exchanges have already moved to take action as well.
Naturally, this took its toll on the price of XRP which has been increasing throughout the entire day.
Georgi Georgiev is CryptoPotato's editor-in-chief and seasoned writer with over four years of experience writing about blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping. Contact George: LinkedIn
