The cryptocurrency world is witnessing a pivotal moment as Coinbase, one of the largest regulated digital asset exchanges, officially announces the relisting of XRP following a groundbreaking legal decision. This move marks a major turning point for Ripple, its native token XRP, and the broader crypto regulatory landscape in the United States.
The shift comes on the heels of a landmark ruling by U.S. federal judge Analisa Torres in the long-running lawsuit between Ripple Labs and the Securities and Exchange Commission (SEC). The court determined that the sale of XRP on public exchanges does not constitute an unregistered securities offering under the Howey Test—a critical benchmark for defining investment contracts.
This legal clarity has sent shockwaves across the industry, prompting renewed confidence among institutional platforms, retail investors, and compliance officers alike.
👉 Discover how regulatory clarity is reshaping crypto trading opportunities today.
Why the XRP Ruling Changes Everything
The SEC had argued since December 2020 that Ripple’s distribution of XRP qualified as an illegal securities sale, particularly focusing on institutional sales. However, Judge Torres’ decision drew a clear distinction:
- Institutional sales of XRP could be considered securities.
- Programmatic sales (i.e., open market trades via exchanges) and direct sales to retail investors do not meet the criteria of an investment contract.
This nuanced interpretation sets a powerful precedent. It suggests that not all token distributions are inherently securities—only specific contexts matter. For exchanges like Coinbase and Gemini, this distinction provides the legal green light they needed to relist XRP with confidence.
Coinbase Re-Enables XRP Trading
Coinbase has officially confirmed that XRP trading will resume on its platform, starting with the XRP network. Users are advised not to send XRP across other blockchain networks to prevent irreversible fund loss.
Trading pairs including XRP/USD, XRP/USDT, and XRP/EUR will roll out in phases, pending sufficient liquidity. The relisting underscores Coinbase’s commitment to expanding its asset offerings based on evolving regulatory clarity.
Gemini followed suit almost immediately, announcing support for both spot and derivatives trading of XRP. Given Gemini’s reputation for strict compliance and conservative listing policies, this decision carries significant weight. It signals that even the most regulation-conscious platforms now view XRP as compliant within current U.S. legal frameworks.
Institutional Confidence Returns
Beyond major exchanges, institutional interest is resurging. iTrustCapital, a leading self-directed IRA platform for alternative investments in the U.S., has also relisted XRP. The firm cited “increased clarity” around XRP’s legal status as the driving force behind its decision.
This institutional validation matters. When retirement-focused platforms embrace a digital asset, it reflects deeper market maturation and long-term belief in its legitimacy.
As more platforms normalize XRP listings, we’re likely to see:
- Increased trading volume
- Broader portfolio inclusion
- Greater integration into financial products like ETFs or structured notes
Ripple Leadership Celebrates Legal Victory
Brad Garlinghouse, CEO of Ripple, took to social media to express gratitude and reinforce the broader implications of the ruling.
“We said in Dec 2020 that we were on the right side of the law, and will be on the right side of history. Thankful to everyone who helped us get to today’s decision – one that is for all crypto innovation in the US. More to come.”
Garlinghouse emphasized that the court’s finding—that XRP itself is not a security—is now settled law. This isn’t subject to further debate or trial; it’s a binding legal conclusion.
Stefan Berger, Ripple’s Chief Legal Officer, echoed this sentiment, calling for a more rational, rules-based conversation about crypto regulation in the U.S. He believes this case can serve as a foundation for clearer guidelines moving forward—guidelines that protect investors without stifling innovation.
👉 See how top-tier platforms are adapting to new crypto regulations in real time.
What This Means for Crypto Regulation in the U.S.
The Ripple vs. SEC case has become more than a corporate dispute—it’s a defining chapter in American crypto policy.
Key takeaways from the ruling:
- Tokens aren’t automatically securities just because they’re sold.
- Context matters: how and to whom a token is sold determines regulatory treatment.
- Public market transactions may fall outside securities law if no expectation of profit from third-party efforts exists.
These principles could influence future cases involving other major cryptocurrencies like Ethereum, Cardano, or Solana, especially if regulators attempt similar enforcement actions.
Moreover, this decision may pressure Congress and federal agencies to establish clearer digital asset frameworks instead of relying on case-by-case litigation.
Frequently Asked Questions (FAQ)
Is XRP now considered legal in the U.S.?
Yes, based on the federal court ruling, XRP is not classified as a security when traded on public exchanges or sold directly to retail investors. This allows regulated platforms to list and support it without violating securities laws.
Why did Coinbase and Gemini wait to relist XRP?
Both exchanges operate under strict compliance standards. They required definitive legal clarity before relisting any asset previously under regulatory scrutiny. The court’s ruling provided that certainty.
Does this mean all cryptocurrencies are safe from SEC action?
Not necessarily. The ruling applies specifically to XRP’s use case and distribution model. Each token will be evaluated based on its own facts—particularly how it was marketed and sold. However, this decision strengthens arguments for other projects facing similar charges.
Can I trade XRP on all exchanges now?
Most major U.S.-compliant exchanges are expected to follow Coinbase and Gemini’s lead. However, some platforms may take additional time to conduct internal reviews. Always check your exchange’s official announcements.
Could the SEC appeal the decision?
Yes, the SEC has the right to appeal. However, doing so would require strong legal grounds, and another prolonged battle could face increasing pushback from lawmakers and industry stakeholders advocating for regulatory clarity.
What’s next for Ripple?
With regulatory uncertainty reduced, Ripple is poised to expand its cross-border payment solutions, pursue new partnerships, and potentially explore additional financial products leveraging XRP’s utility in liquidity and settlement.
👉 Stay ahead of crypto developments with real-time market insights and updates.
A New Chapter for Digital Assets
The relisting of XRP on top-tier exchanges like Coinbase and Gemini isn’t just about one token—it’s symbolic of a maturing ecosystem where legal clarity enables innovation.
As regulators, courts, and companies navigate this evolving space, cases like Ripple’s offer much-needed benchmarks. They demonstrate that digital assets can coexist with investor protection when rules are applied fairly and transparently.
For investors, developers, and financial institutions, this moment represents an opportunity: to build responsibly, invest confidently, and participate in shaping the future of finance.
The message is clear—crypto isn’t going anywhere. And with milestones like this, it’s becoming clearer than ever that well-designed blockchain projects can thrive even under rigorous legal scrutiny.
Core Keywords: XRP, Coinbase, Ripple, SEC lawsuit, cryptocurrency regulation, crypto exchanges, digital assets, token listing