Coinbase Reopens XRP Trading in New York
On May 23, Coinbase Chief Legal Officer Paul Grewal announced that customers in New York state will once again be able to trade XRP on the crypto exchange after a nine-month hiatus.
In a short social media post, Grewal offered an update: “XRP trading on Coinbase is back in NY. We listened and started working in strong partnership with the region. And now the word can be defined – we are back.
In the year Following the United States Securities and Exchange Commission's (SEC) lawsuit against Ripple in 2020, XRP (XRP) has remained a damaged asset under scrutiny from government regulators and centralized exchanges alike.
Several centralized exchanges, including Coinbase, Bittrex and Binance.US, delisted XRP after the SEC accused Ripple Labs of selling unregistered securities.
These same exchanges reversed course and delisted the digital asset after Judge Analisa Torres ruled that the secondary sale of XRP in 2023 would not include securities sales.
At the time, Coinbase made headlines for relisting the token as XRP investors and speculators eagerly awaited other major exchanges to list the asset.
However, despite the court's decision and the token's registration on US platforms, XRP faces regulatory hurdles in some regions and locations such as Japan and New York.
In September 2023, the New York Department of Financial Services (NYDFS) removed Ripple Labs from its “green list” of companies allowed to hold customer assets, forcing Coinbase to stop trading XRP to New Yorkers.
Crypto firms and other entities seeking to act as custodians of client funds in New York must apply and be personally approved by the NYDFS to retain their right to act as custodians of assets in the state.
Related: XRPL On-Chain Transactions Jump 108% in Q1 2024
XRP price seems to have reacted positively to the news, putting upward pressure on the daily candle, moving the price from $0.51 to around $0.53 at the time of writing.
Despite this, XRP price has been struggling with steady price action since the high of $0.74 established on March 12, 2024.
