A major cryptocurrency exchange based in the United States stopped all XRP trading on its platform after the Securities and Exchange Commission’s ongoing lawsuit against Ripple Labs.
XRP trading suspended
PayBito exchange, which trades $ 1.1 billion on a daily basis, will suspend all XRP trading pairs as announced on February 18. Historically, PayBito had four XRP trading rates, and XRP / USDT trades had the most transaction volume.
PayBito general manager Raj Chowdhury stated that as a result of the suspension of the trading, this situation will not affect the assets of the users, and emphasized that the cryptocurrencies held in the exchange can be withdrawn to other platforms.
The case will be followed
PayBito stated that it will continue to monitor the ongoing legal dispute between the SEC and Ripple Labs and may restart XRP trading depending on the outcome of the case.
In December 2020, the SEC filed a lawsuit against Ripple Labs, claiming that the sale of XRP coins violated securities laws.
Ripple Labs continues to deny the allegations and has since asked the SEC to explain why XRP is classified as a security, but not Ethereum (ETH).
SEC officials had previously made public that cryptocurrencies such as Bitcoin (BTC) and Ethereum are sufficiently decentralized to not represent securities issues.
PayBito joins a long list of major exchanges that have chosen to stay away from XRP while the case is ongoing. Binance.US, eToro, Coinbase, Bittrex and OKCoin are among the leading exchanges suspending or delisting XRP trading.