XRP has been troubled in the face of a lawsuit from the US Securities and Exchange Commission (SEC) on whether it qualifies as a security. Bakkt, one of the biggest cryptocurrency companies in the US, said that will not support XRP as part of its further product development, according to the CEO.
Bakkt CEO Gavin Michael said that Bakkt is going to roll out support for several altcoins on its platform in the future, but XRP is not one of them.
Michael declined to comment on whether the firm decided to stay away from XRP due to Ripple’s legal issues sparked by a lawsuit from the U.S. Securities and Exchange Commission. “Just not on our platform,” Michael said, adding:
“We entered the crypto space through Bitcoin, and that was our first currency we’ve made available. We have others that are scheduled to come on board as part of the product development. But XRP is not available.”
Michael’s remarks on Ripple follow the official announcement of Bakkt’s plans to go public. On Jan. 11, the Intercontinental Exchange, the operator of the New York Stock Exchange and the owner of Bakkt, announced a merger deal with VPC Impact Acquisition Holdings to let Bakkt launch on stock markets.
Meanwhile, Ripple is fighting the SEC’s $1.3 billion lawsuit brought against the firm in late December. On Jan. 8, Ripple CEO Brad Garlinghouse strongly denied the “SEC’s unproven allegations” and claimed his company is “on the right side of the facts and of history.”
In the midst of Ripple’s legal problems, many crypto firms have decided to delist XRP. On Jan. 6, crypto wallet provider and trading platform. Blockchain.com announced removing XRP, following Coinbase, Binance.US, OKCoin and others. However, some companies like Uphold preferred to keep XRP on their platforms until the SEC lawsuit is resolved.
Ripple (XRP) climbed to highs of $0.33 on Monday but looks likely to struggle above the $0.30 range once again. This bearish short term outlook follows yesterday’s big-time tumble that saw XRP price fall to lows of $0.22.
The cryptocurrency did manage to recover above $0.30 during the Asian trading session Tuesday, as most cryptos rebounded off Monday’s sell-off. However, although XRP remains in the green as of writing, it could easily flip red if momentum shifts.
Away from the market, Ripple seems intent on luring the best talent to its team. Yesterday, Ripple CEO Brad Garlinghouse announced that former Amazon executive Devraj Varadhan was hired as Ripple’s new SVP of engineering.
Devraj will help Ripple develop the infrastructure needed to advance the development of the Internet of Value—“a world where money moves like information on the internet”.