The crypto market has been proving to be extremely volatile than ever. While Bitcoin hit new heights, Ripple [XRP] slumped to new lows. However, the altcoin was once again seen mounting. XRP found itself swimming in troubled waters following formal charges from the Securities and Exchange Commission [SEC] of the United States. Ripple is once again in the news after MoneyGram shed light on its association with the payments company.
XRP Soars After Slumping By 50%
Ripple has time and again been associated with prominent cross border payments platform, MoneyGram. In a recent statement issued by MoneyGram, the platform revealed that it does not employ RippleNet or the on-demand liquidity [ODL] platform of Ripple. This statement was in light of the recent charges from the SEC against Ripple fr engaging in an unregistered securities offering that managed to raise $1.3 billion.
The statement further read,
“The Company has not currently been notified or been made aware of any negative impact to its commercial agreement with Ripple but will continue to monitor for any potential impact as developments in the lawsuit evolve.”
MoneyGram, in its announcement, stressed the fact that it wasn’t subject to any action from the SEC as it did not utilize “the ODL platform or RippleNet for direct transfers of consumer funds.” However, the platform has been making use of Ripple’s foreign exchange [FX] since June 2019.
The SEC lawsuit had insinuated a series of unrests to the Ripple network. Several exchanges including, OSL, CrossTower as well as Beaxy put a hold on services related to XRP following the lawsuit. The charges slapped on Ripple had even led to prominent crypto exchange, Coinbase to consider delisting the altcoin.
Over the course of the past week, XRP had recorded a slump of over 50%. However, the asset seemed to be getting back on track as it was surging by over 30%, during the time of writing. XRP was priced at $0.3560 while its market cap was as low as $15.7 billion.