Ripple’s New Liquidity Hub Supports Major Cryptos, But XRP Excluded! What’s Going On?

The post Ripple’s New Liquidity Hub Supports Major Cryptos, But XRP Excluded! What’s Going On? appeared first on Coinpedia Fintech News

Blockchain firm Ripple has launched a new liquidity product for businesses, called Liquidity Hub, aimed at reducing the gap between crypto and fiat. The platform currently supports several major cryptocurrencies, including Bitcoin, Ethereum, Litecoin, Bitcoin Cash, and Ethereum Classic, but interestingly, it does not support Ripple’s native token, XRP.

The exclusion of XRP has raised eyebrows among the Ripple community, with some speculating that it may be due to the ongoing court case between Ripple and the Securities and Exchange Commission (SEC). The SEC has accused Ripple of raising $1.3 billion through an unregistered security offering by selling XRP to investors, and Ripple’s legal dispute with the regulator has been ongoing since 2020.

Ripple Speaks Out

In an announcement, Ripple clarified that XRP will be evaluated along with other tokens for support within the product. The company explained that it wants to offer a wide range of assets to its customers and XRP will be considered for inclusion as regulatory clarity in the US is achieved.

“XRP will be evaluated along with other tokens for support within the product. We look forward to supporting XRP as it receives regulatory clarity in the U.S.”

John Deaton Supports Ripple’s Stand

Ripple’s $100 million investment in the legal battle shows how strongly they believe in the token. But as Deaton points out, it’s not just about how Ripple perceives XRP. Other companies, especially US publicly traded companies, may hesitate to invest in or support XRP due to regulatory uncertainty. This is a major concern for XRP holders and the wider crypto community. Hopefully, as Ripple’s legal battle with the SEC progresses and regulatory clarity is achieved, more companies will feel comfortable supporting XRP.

I wasn’t surprised b/c it’s not about how Ripple perceives #XRP. The Ripple folks clearly don’t believe #XRP is a security or they wouldn’t spend $100M fighting the SEC. It’s about other companies, especially U.S. publicly traded companies and the risk they perceive.

— John E Deaton (@JohnEDeaton1) April 14, 2023

Ripple’s CLO is hopeful for a positive outcome

In a recent tweet, Ripple’s Chief Legal Officer suggested that the SEC’s recent loss in the Supreme Court case SEC v Cochran on April 14, 2023, shows the regulator’s weak track record in legal battles. This statement indirectly hints that Ripple is confident in its own legal battle with the SEC and hopes to achieve a favourable outcome.