XRP Trading Returns for New York Users via Coinbase

Coinbase, the largest U.S.-based exchange, has relisted XRP for trading for its users who are residents in New York.

Coinbase announced this relisting of XRP for New Yorkers in a post via one of its official X handles. The announcement was also confirmed by Paul Grewal, Coinbase’s Chief Legal Officer.

In the statement, Grewal noted that Coinbase has reinstated XRP trading in New York after collaborating closely with state authorities amid mounting requests from users. 

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.

— paulgrewal.eth (@iampaulgrewal) May 23, 2024

Notably, Coinbase halted XRP trading in January 2021 following the U.S. Securities and Exchange Commission’s (SEC) lawsuit against Ripple, which labeled XRP as an unregistered security.

Subsequently, Coinbase and other U.S. exchanges relisted XRP in July after a court decision indicated that XRP is not a security. Despite this, trading in New York remained unavailable until the recent update.

This is due to New York’s reputation for strict cryptocurrency regulations, especially its ‘BitLicense’ framework, which poses significant operational challenges for businesses within the state. 

Interestingly, regardless of the federal court ruling that XRP is not a security, the New York regulator proceeded to revise its ‘green list’ of permissible assets to exclude XRP from the lineup.

Ultimately, Coinbase’s recent announcement suggests that the exchange and New York’s regulatory body have reached a mutual agreement that paves the way for the relisting of XRP.

XRP Spikes by 3% After Relisting Move

Remarkably, Coinbase’s reactivation of XRP trading for New Yorkers coincided with a mild uptick in price. Market data confirms that XRP briefly spiked by 3.15% to hit a new daily high of $0.5392. The chart shows the momentary spike surfaced precisely around the time of Coinbase’s announcement.

Meanwhile, recall that, last July, XRP soared by over 100% in 24 hours, coming close to reclaiming the $1 range, when exchanges like Gemini, Kraken, and Binance.US relisted it after the lawsuit victory.