Coinbase, the US-based crypto exchange is finally listing Ripple (XRP) on Coinbase Pro. Soon after the news, the price of the token escalated by 12%.
The platform will begin trading XRP officially as and when the tokens deposits reach “sufficient” levels, the deposits have started as of 10 am PT on 25 February. The minimum period between opening deposits and enabling trading is 12 hours.
When XRP?? Now! XRP/USD, XRP/EUR, and XRP/BTC order books will soon enter transfer-only mode, accepting inbound transfers of XRP in supported regions. Orders cannot be placed or filled. Order books will be in transfer-only mode for a minimum of 12 hours. https://t.co/MWUtUm4wRh
— Coinbase Pro (@CoinbasePro) February 25, 2019
As per the Coinbase blog, the XRP/fiat pairs will go live in several jurisdictions initially, including non-New York US states, Canada, Singapore, Australia, the UK, and several other European countries. The blog describes the platform’s decision as follows:
XRP is the cryptocurrency used by the XRP ledger, which supports international currency exchange and remittances. The ledger is powered by a network of peer-to-peer servers. All accounts on this network can send or receive XRP to/from each other, while XRP can be used to send underlying fiat currencies between two parties. In this way, XRP can function as a bridge currency in transactions involving different currencies such as US dollars, Japanese yen, Euros, Francs, and others in use on the XRP network.
The Subsequent jump in Ripple
Soon after the announcement, Ripple was pushed for 35 cents on other exchanges. Indicating that some Coinbase Pro users are purportedly purchasing Ripple to deposit on the platform.
Coinbase has been on a coin adding spree for a few months now. Notably, before that, the exchange was purely for Bitcoin (BTC), Ethereum (ETH) was later listed. As and when Coinbase has announced new altcoins listings, the price of the enlisted token has observed a hike.
Many refer to this “Coinbase” effect as the case of the Basic Attention Token. A similar pattern is evident for Ripple as well, the token has observed a major increase, where it was suffering a dip just prior to the news.
Amidst Ripples’ daily volume 4% happened in the XRP/Tether market on Binance for around $50 million. Binance’s XRP/BTC observed another $38 million in volume over the 24-hour period. In total the exchange had a comfortable 7% of the day’s volume.
A significant portion of the volume is expected to happen at Coinbase, in coming days. After all the platform boasts one of the largest user-bases for a regulated exchange. The listing will take place in four stages:
- Users will make deposits of XRP, that was already in process at the press time.
- For a “minimum of one minute,” only post type orders can be placed.
- Coinbase will start executing the next orders, for a minimum of 10 minutes.
- After that, full market trading will be enabled, i.e. the customers can make all the same types of trades they can with other cryptos on Coinbase Pro.