The world’s largest digital currency asset manager cancels XRP investment product
Grayscale Investments responds to the SEC’s decision and cancels any activities related to investing in cryptocurrency Ripple (XRP).
As you know, on 22nd of December 2020, the Securities and Exchange Commission brought an action against Ripple for an unregistered offer of securities.
Since then, a wave of reactions has started, such as the suspension of trading on Binance US, Coinbase and EToro US. A lawsuit from the British investment company Tetragon Financial Group Ltd or the current report that the leader in digital currency investing has been canceled for the Grayscale XRP Trust (XRP) product.
Grayscale states that one of the main reasons is the fact that XRP has been delisted from popular trading platforms, making it increasingly difficult to convert XRP to US dollars.
As for the shareholders of this product, Grayscale stated:
In connection with the dissolution, the Sponsor has liquidated the Trust’s XRP and intends to distribute the net cash proceeds to Trust shareholders, after deducting expenses and providing appropriate reserves and subject to any applicable withholding.
The Trust will terminate following distribution of the net cash proceeds.
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