$ 245m fund liquidates XRP position
Crypto asset manager Bitwise has announced it is liquidating its XRP position in its crypto index fund.
The decision was taken after the U.S. Securities and Exchange Commission (SEC) claimed that XRP was a securities, Bitwise said in a statement.
The SEC announced yesterday that it had formally sued Ripple and two of its executives, CEO Brad Garlinghouse and co-founder Chris Larsen, on charges of selling $ 1.3 billion in unregistered securities.
Bitwise’s statement also said that the crypto index fund does not invest in assets that are likely to be considered securities.
XRP’s weight in the fund in question was 3.84 percent. Bitcoin accounts for 79.55 percent of the fund and Ethereum accounts for 11.88 percent. The value of the assets in the fund is $ 245 million.
Meanwhile, XRP was off the list from US-based small-scale cryptocurrency exchanges CrossTower and Beaxy. Another Hong Kong-based exchange, OSL, also closed its XRP trading.
Developments have had a big impact on the price of XRP. XRP, which traded at $ 0.54 two days ago, finds buyers at $ 0.32 today. At XRP, the two-day loss was 41 percent.