US cryptocurrency exchange Coinbase has made a significant move by reopening XRP trading to users in Novel York, despite an ongoing legal dispute between the decentralized platform Ripple and the U.S. Securities and Exchange Commission (SEC).

The decision marks a bold move for Coinbase, which previously suspended XRP trading following the SEC’s lawsuit against Ripple. The development comes as the legal battle is reaching a crucial stage and the court is expected to deliver a verdict soon.

XRP returns to Coinbase

In response to SEC lawsuit against Ripple Labs, Coinbase suspended XRP trading pairs on its platform in January 2021. The exchange gradually reduced trading to “limit only” mode, before suspending it completely on January 19, 2021.

However, Coinbase Chief Legal Officer Paul Grewal announced on Thursday, reopening XRP trading to users in Novel York via a statement on social media. Grewal acknowledged the community’s comments and highlighted the collaborative efforts made with the state to restore XRP trading.

Ripple’s legal battle with the SEC has been an arduous one, but the case is nearing an end. Both sides do filed its reports and Judge Analisa Torres is expected to issue a final ruling soon.

Before issuing a ruling, the court will review Ripple’s sealing motion to determine whether it is a company motion Financial information will be made public.

Once the ruling is issued, Ripple will have fourteen days to produce the relevant documents in a public or redacted version. The SEC proposed a significant fine of almost $2 billion for the decentralized payment platform, while Ripple argued for a narrow fine of $10 million.

Ripple lawsuit hanging in the balance

Recent changes in the regulatory landscape, incl transition The Financial Innovation and Technology for the 21st Century Act (FIT21) passed by the US House of Representatives could potentially impact the Ripple lawsuit and the entire cryptocurrency industry.

FIT21 aims to establish a regulatory framework for digital assets, providing much-needed transparency and support for innovation. However, the SEC, led by Chairman Gary Gensler, expressed concerns about the bill’s consumer protections and emphasized the applicability of existing regulations to the crypto space.

President Biden has also expressed concerns and threatened to veto the bill in its current form. The result of these regulatory discussions could significantly shape the future of the industry.

Ultimately, Coinbase’s decision to resume XRP trading in Novel York shows a noticeable shift in its stance on the cryptocurrency in the wake of Ripple’s legal battle with the SEC.

As the trial draws to a close, the crypto industry eagerly awaits Judge Analisa Torres’ ruling, which will determine the outcome and potential financial impact on Ripple, as the final decision and its ramifications will have far-reaching consequences not only for Ripple, but for the broader cryptocurrency market in the United States.

Currently, the price of XRP is $0.534 and has not seen any change in the last 24 hours. However, over the last fourteen days, the cryptocurrency has secured a gain of 4.1%.

Featured image from Shutterstock, chart from TradingView.com