Changpeng Zhao, the CEO of one of the largest exchanges in the market gave his point of view about XRP and whether it is or not a security. In a conversation on Twitter with the cryptoanalyst Joseph Young, he said that XRP doesn’t look like a security to him. However, he made it clear saying that that’s only his personal opinion.
Changpeng Zhao Considers XRP is Not a Security
During the last months, there has been a debate in the market regarding XRP being considered a security. The U.S. Securities and Exchange Commission (SEC) mentioned that Bitcoin (BTC) and Ethereum (ETH) are not securities. Both coins are decentralized and have a real use case. However, the regulatory agency did not comment anything about XRP.
In a series of tweets, Joseph Young, said that the crypto exchange Coinbase has listed several virtual currencies apart from XRP. Apparently, it seems that the pending federal court case that is opened against Ripple is ‘holding them back for now,’ said Mr. Young.
Immediately after, Changpeng Zhao said that the court case may take several years. Additionally, he wrote that considering XRP as a security would be very harmful for XRP users around the world.
About it, he wrote:
“The court case may take years. But if XRP is ruled as a security, it would seriously hurt a lot of US users, and to a certain extent, other users around the world too. It certainly doesn’t look like a security to me, but that’s just one person’s opinion.”
The court case may take years. But if XRP is ruled as a security, it would seriously hurt a lot of US users, and to a certain extent, other users around the world too. It certainly doesn't look like a security to me, but that's just one person's opinion.
— CZ Binance (@cz_binance) December 12, 2018
In the past, several users have been asking for Binance to list XRP as a base currency on the exchange. Users seem to consider XRP as a very useful virtual currency because it offers fast transfers for just a few cents. It is useful to move money and funds between exchanges and allow companies to perform cross-border payments around the world.
At the time of writing, XRP is the second largest virtual currency with a market capitalization of $12.68 billion. Each XRP coin can be purchased for $0.309. Binance is now the third largest crypto exchange in terms of trading volume. In the last 24 hours, Binance was able to handle $401 million in trading volume. The most traded pairs were BTC/USDT, ETH/USDT and EOS/USDT.
Want to learn more about Ripple? Read our guide to Ripple, Ripple Labs, and XRP, a breakdown necessary for any crypto investor. A search for Ripple on our site will bring up the latest XRP articles like coverage on a Ripple strategist claiming XRP is more used than BTC.
Interested in investing in Ripple? You’ll want to start with our XRP price prediction article and then go into our current Ripple technical analysis. (Always do your own research and read the site disclaimer). If you’re interested in buying Ripple, you can learn how to buy XRP on Binance, our suggested exchange for investors.