In the words of Paul Grewal, the Chief Legal Officer at Coinbase, "XRP trading on Coinbase is available again in NY. We heard you and put in the work in strong partnership with the State. And now the word can be put out— we are back up."
Coinbase has announced the resumption of XRP trading for New York residents. This will allow NYC-based users to finally buy and sell the Ripple blockchain's native token on the platform following three years of suspension.
XRP trading on Coinbase was suspended on January 19, 2021, following a lawsuit filed by the US Securities and Exchange Commission (SEC) against Ripple, claiming the token was an unregistered security.
In July 2023, a court ruling found that XRP is not a security when traded on secondary exchanges, though its sales to institutions might still be considered securities. Despite Ripple’s partial victory against the SEC, the New York Department of Financial Services (NYDFS) further tightened the rules around XRP in September 2023. By removing XRP from its "Greenlist," the regulatory body mandated licensed entities to seek individual approval to offer XRP-related services.
The return of XRP trading in New York is a notable milestone, occurring nearly three and a half years after its initial suspension. After confirming this development on X (formerly called Twitter), Paul Grewal noted that the decision was influenced by user feedback and collaboration with state authorities.
