On December 30, an alleged customer named Thomas Sandoval of St. Louis filled a lawsuit in District Court in California against crypto exchange giant Coinbase. The class-action lawsuit claimed that Coinbase illegally sell securities in a form of Ripple (XRP) tokens and that it flaunted the rules by listing XRP. The legal document wrote that Coinbase "is not licensed to sell securities" and it is a "digital exchange" and "commodities broker for cryptocurrencies.”
The plaintiff bought XRP in early November last year and and also stated that Coinbase did all of this knowingly.
It stated that Coinbase had cheated its customers on a massive scale, claiming the exchange knew that XRP “did not meet the definition of a commodity,” and was completely aware that was a security, and knew that to trade in it was illegal.
Since the SEC filed its legal action against Ripple Labs, the XRP price has been freefall. However, Ripple denies the SEC's allegations and cited evidence about legal rulings.
Meanwhile, Coinbase decided to suspend trading in XRP token on the last week of the year 2020.
According to Bloomberg intelligence,
And to Richard Arschmann,
