Ripple (XRP) is reportedly violating one of Coinbase’s listing rules, even though the cryptocurrency exchange added support for the altcoin on the its Pro platform. A Feb. 26 report by blockchain research firm Diar states that XRP breaks one of Coinbase’s requirements to be listed on the platform.
Specifically, in its “Digital Asset Framework,” Coinbase states that “the ownership stake retained by the team is a minority stake,” while, according to Diar, Ripple holds around 60 percent of the supply in escrow with a release schedule.
Coinbase Pro, the professional offering of United States-based crypto trading platform and wallet service Coinbase, added support for XRP token yesterday, Feb. 25. In the announcement, Coinbase stated that full trading of XRP will be available to customers in the U.S., Canada, the European Union, the United Kingdom, Singapore and Australia, while also planning to expand its services to other countries at a later date.
XRP reacted promptly to the news about its listing on Coinbase Pro. The coin turned out to be one of the biggest winners on the day, reaching $0.337 following a gradual decline from the weekly high of around $0.341 on Feb. 19, according to CoinMarketCap.
Last month, crypto analytics firm Messari published a report, alleging that XRP’s market capitalization could be overvalued by as much as $6 billion. The report notes that XRP’s liquid circulating supply could be overestimated by 48 percent, putting the “actual” market cap at $6.9 billion instead of the $13 billion that was then reported on CoinMarketCap.
According to Ripple’s fourth quarter (Q4) of 2018 report, the company sold $535.56 million worth of XRP in 2018. During Q4, 3 billion XRP was reportedly released out of cryptographic escrow, while 2.4 billion were returned. Per the statement, the remaining 600 million XRP not returned to escrow are being used “in a variety of ways to help support the XRP ecosystem.”
Today, XRP has seen a decrease by 2.48 percent over the day, and is trading around $0.319 at press time.