By now, the entire world is well-aware of the importance of crypto-blockchain technology. The COVID-19 pandemic had resulted in thousands of companies shutting down for an indefinite amount of time. Millions of people ended up losing their jobs and due to the lockdowns and curfews, finding a job was out of option.
This was the time when the global economy was going through the hardest time of the modern economic industry. No industry had any idea as to what it could do to handle/tackle the challenge at hand.
This was the time when the cryptocurrency industry out-shined the rest of the financial industries a safe-haven. In just a year, the cryptocurrency industry has managed to increase its use-base from 35 million to more than 100 million.
Now, the cryptocurrency industry is flying high and as per economic analysts, it will continue to experience the same trend.
At present, the top three cryptocurrencies that are ruling the cryptocurrency space are Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP). Although things have been very easy and convenient for the top two cryptocurrencies, they are not looking good for Ripple (XRP).
Since its launch, the Ripple (XRP) blockchain has faced a lot of challenges and obstacles. The main reason behind these challenges is the concept that went into the making of the Ripple (XRP) tokens. While the top two cryptocurrencies are based on decentralized networks, Ripple (XRP) is known for being centralized.
Due to its very nature, the particular cryptocurrency is more susceptible to regulatory penalties and legal proceedings. Just recently, it was revealed by the U.S. Securities and Exchange Commission that it is going to file a lawsuit against the Ripple (XRP) network.
The SEC alleged that the Ripple (XRP) network has been using its XRP tokens for soliciting its securities to the citizens of the United States. The SEC stated that Ripple (XRP) has solicited its securities to the American citizens without getting them licensed or registered through it.
Following the rumors of SEC suing Ripple (XRP) for selling securities without being registered small crypto-exchanges have already started acting upon it. It has been confirmed that small crypto-exchanges based in the United States have started suspending Ripple (XRP) from their platforms.
These cryptocurrency exchanges have also started notifying their users about the changes that they need to expect related to the trading of Ripple (XRP).
A cryptocurrency exchange named ‘Beaxy Exchange’ has confirmed why they have suspended Ripple (XRP) from their platform. It confirmed that it was indeed the rumors of the SEC taking legal actions against Ripple (XRP) that triggered the exchange to take this action.
The officials of Beaxy Exchange confirmed that it will not be putting Ripple (XRP) back on its platform until the lawsuit against Ripple (XRP) comes to a conclusion.