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Crypto Lawyer Explains Why Ripple Excluded XRP From Liquidity Hub

Published 2023-04-15, 07:04 a/m
© Reuters.  Crypto Lawyer Explains Why Ripple Excluded XRP From Liquidity Hub
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Coin Edition -

  • Crypto lawyer Bill Morgan shares his take on Ripple’s decision to exclude XRP from Liquidity Hub.
  • Ripple recently shared its crypto liquidity API solution for its on-demand liquidity (ODL) clients.
  • The assets on Liquidity Hub included BTC, ETH, LTC, etc but did not name XRP.

Crypto lawyer Bill Morgan recently took to Twitter to share his thoughts on the recent controversy surrounding Ripple’s Liquidity Hub product. The controversy started after a crypto influencer on Twitter brought attention to Ripple’s newly unveiled Liquidity Hub, which was marketed as the firm’s B2B Crypto Liquidity API Solution.

The influencer claimed that back in 2021, the General Manager of Ripple stated that the firm’s Liquidity Hub product would be “starting with XRP, BTC, ETH, BCH, LTC, and ETC (varying by jurisdiction)”. However, Ripple’s press release which announced LH had no mention of XRP. The influencer raised the question of a possible settlement agreement given the company’s ongoing lawsuit with the U.S. Securities and Exchange Commission (SEC).

The tweet gained considerable traction following which, the XRP community started demanding answers from Ripple and its Chief Technology Officer David Schwartz. “Someone from @Ripple needs to explain why $XRP has been removed from the Liquidity Hub product while other assets remain as shown below. Not trying to introduce FUD, but this needs clarification,” one user tweeted.

Bill Morgan responded to one such tweet and highlighted the fact that Ripple’s on-demand liquidity (ODL) sales since May 2020 had been restricted to its ODL customers. However, the new Liquidity Hub was not limited to ODL customers or cross-border payment users. Morgan suggested that maybe LH required deeper liquidity pools than any one asset like XRP could provide.

Ripple has since amended its Liquidity Hub announcement to address the concerns surrounding the exclusion of XRP from the list of assets. “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 US,” the latest announcement read.

The post Crypto Lawyer Explains Why Ripple Excluded XRP From Liquidity Hub appeared first on Coin Edition.

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