The recent Coinbase Pro listing of Ripple has created a controversy as blockchain research company Diar pointed out that the exchange has violated its own guidelines by listing the coin.
On February 26, Diar, in its weekly report, specified that the San Francisco-headquartered exchange has violated the listing guidelines mentioned in its “Digital Asset Framework.” According to the listing rules, “the ownership stake retained by the team” should be “a minority stake,” however, in case of Ripple, 60 percent of the token supply is still controlled by the organization.
Coinbase Pro announced the addition of XRP to its offerings on February 25, which in turn boosted the market price of the coin as it surged 10 percent in 24 hours. The surge was significant as the coin was trading flat for a while and no other developments were available to boost the prices.
A Spike, but Not a Steady Growth
The coin, however, could not hold its bullish position and soon dropped three percent from the 7-day peak and is currently trading at $0.319, as per Coinmarketcap.com’s data.
Coinbase Pro is the “professional” trading platform of the United States’ leading crypto exchange and wallet platform Coinbase. The platform is offering XRP trading services to its clients based in the US, Canada, the European Union, the United Kingdom, Singapore, and Australia. It is also planning to expand the services to other countries as well.
Although XRP is one of the most promising crypto projects in the decade-old industry, it has attracted a lot of criticisms in recent years. Blockchain analytics firm Messari, last month in a report, lashed XRP for overvaluation of its market capitalization by $6 billion. The report detailed that the token’s liquid circulating supply could be overestimated by 48 percent, which has set the market cap of the coin at $13 billion instead of the “actual” $6.9 billion.