Grayscale Investments Begins Dissolution of XRP Trust Citing Ripple SEC Suit

Grayscale Investments, the world's largest digital currency asset manager, announced that it has started liquidating its Grayscale XRP Trust after the Securities and Exchange Commission alleged against Ripple Labs that the XRP token was a security in the Meaning of the Federal Securities Act.
The cash proceeds from the trust's liquidated XRP will be distributed to shareholders, Grayscale said without providing any estimates of the proceeds.
January 8th. According to SEC filings, the XRP trust raised $ 19.2 million from 70 investors in nearly three years. It was not clear how much the fund was worth when it was liquidated.
Grayscale blamed the SEC's December 2020 lawsuit against XRP issuer Ripple Labs, which had token sales of $ 1.3 billion since 2013. This lawsuit created a hostile market environment for XRP.
"It is likely to become increasingly difficult for US investors, including the trust, to convert XRP into US dollars and thus continue the trust's business," said Grayscale.
In early January, Grayscale removed XRP from its large-cap crypto fund.
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Grayscale investments begin with the dissolution of the XRP trust citing Ripple SEC Suit
Grayscale investments begin with the dissolution of the XRP trust citing Ripple SEC Suit
Grayscale investments begin with the dissolution of the XRP trust citing Ripple SEC Suit
Grayscale investments begin with the dissolution of the XRP trust citing Ripple SEC Suit
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