Crypto lawyer Bill Morgan has taken to Twitter to share his thoughts on the recent controversy surrounding Ripple’s Liquidity Hub product. The product was marketed as the firm’s B2B Crypto Liquidity API Solution. The controversy started after a crypto influencer on Twitter brought attention to Ripple’s newly unveiled Liquidity Hub. The influencer claimed that 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)” back in 2021. 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). Following this, the XRP community started demanding answers from Ripple and its Chief Technology Officer David Schwartz. One user tweeted, “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.”
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. The latest announcement read, “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 exclusion of XRP from Ripple’s Liquidity Hub has caused a stir in the crypto community, with many questioning the motives behind the decision. Some have speculated that the exclusion is a result of Ripple’s ongoing legal battle with the SEC. Others have suggested that the decision was made due to concerns over XRP’s regulatory status.
Ripple has been embroiled in a legal battle with the SEC since December 2020. The SEC alleges that Ripple sold XRP as an unregistered security, and therefore violated federal securities laws. Ripple has denied the allegations and has vowed to fight the case in court.
The exclusion of XRP from Ripple’s Liquidity Hub has raised questions about the company’s commitment to the cryptocurrency. XRP is one of the largest cryptocurrencies by market capitalization, and its exclusion from Ripple’s Liquidity Hub could have a significant impact on its value.
Despite the controversy surrounding Ripple’s Liquidity Hub, the company remains committed to its mission of revolutionizing the global payments industry. Ripple’s technology has the potential to reduce the time and cost of cross-border payments, making it easier for individuals and businesses to transact across borders.
In conclusion, the exclusion of XRP from Ripple’s Liquidity Hub has caused a stir in the crypto community, with many questioning the motives behind the decision. While Ripple has since amended its announcement to address the concerns surrounding the exclusion of XRP from the list of assets, the controversy has highlighted the challenges facing the cryptocurrency industry as it seeks to gain mainstream acceptance.