Coinbase Chief Legal Officer Hints at Possible XRP Relisting

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The cryptocurrency world is watching closely as Paul Grewal, Chief Legal Officer of Coinbase, recently indicated that XRP could potentially be relisted on the platform—though not without important legal considerations. In a carefully worded statement, Grewal emphasized that any decision would depend heavily on the outcome of the ongoing legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC).

👉 Discover how regulatory clarity could reshape crypto exchange listings in 2025.

The Road to XRP Relisting: What’s at Stake?

In early 2021, shortly after the SEC filed a lawsuit against Ripple Labs, alleging that XRP was an unregistered security, major U.S. exchanges—including Coinbase—paused trading and delisted XRP. This move had a ripple effect across markets, significantly impacting liquidity and investor sentiment.

Now, with the court case entering a decisive phase, Coinbase is reassessing its position. According to Grewal, “It’s possible that XRP could be relisted after the court issues its final ruling in the Ripple litigation. However, the ultimate decision will depend on both the judge’s determination and our internal evaluation of the legal landscape.”

This cautious stance reflects the broader challenge facing regulated crypto platforms: balancing innovation with compliance. As a publicly traded company, Coinbase must navigate complex regulatory waters while maintaining trust with investors and users.

Why Legal Clarity Matters for Crypto Exchanges

The SEC vs. Ripple case has become one of the most pivotal legal battles in the digital asset industry. At its core, it questions whether certain cryptocurrencies qualify as securities under U.S. law—a classification that triggers stricter regulatory oversight.

For exchanges like Coinbase, this distinction is critical. Listing a token deemed a security without proper registration could expose the platform to legal and financial risks. That’s why Grewal stressed: “Much will depend on the details of the court’s ruling. I know this may not satisfy everyone immediately, but as a public company, we have a duty to act prudently in this space and respect matters under federal court review.”

This measured approach aligns with Coinbase’s long-term strategy of regulatory engagement rather than confrontation. The exchange has consistently advocated for clearer crypto legislation, even launching its own policy initiatives to support responsible innovation.

Market Impact of a Potential XRP Relisting

If XRP is ultimately deemed not to be a security—or if sufficient regulatory clarity emerges—relisting on Coinbase could have significant implications:

Moreover, such a move could set a precedent for other previously delisted assets, including those from similar enforcement actions.

Key Factors Influencing the Decision

Several variables will shape Coinbase’s final call:

  1. Final Court Ruling: The judge’s determination on whether XRP qualifies as a security.
  2. SEC Response: Whether the commission appeals or accepts the ruling.
  3. Internal Compliance Review: Coinbase’s legal team will assess risks based on the verdict.
  4. Market Demand: Persistent user interest in XRP remains strong, according to exchange data.

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FAQ: Your Questions About XRP and Coinbase Answered

Q: Has Coinbase officially confirmed the relisting of XRP?
A: No. While the Chief Legal Officer acknowledged it's possible, no formal decision has been made. Any relisting would follow a thorough legal review.

Q: Why was XRP removed from Coinbase in the first place?
A: In January 2021, Coinbase suspended XRP trading due to the SEC’s lawsuit against Ripple, citing potential regulatory risk associated with listing an unregistered security.

Q: What does the recent court ruling mean for XRP’s status?
A: A partial summary judgment ruled that XRP is not a security when sold to retail investors on public exchanges. However, institutional sales are still under scrutiny, and the final decision is pending.

Q: How soon could XRP return to Coinbase?
A: Timing depends on the conclusion of the Ripple-SEC case and Coinbase’s internal assessment. There is no confirmed timeline yet.

Q: Will other U.S. exchanges follow suit if Coinbase relists XRP?
A: Likely. Coinbase often sets industry standards; a relisting could prompt others like Kraken or Gemini to reconsider their positions.

Q: Is XRP safe to hold now?
A: Holding XRP is permitted on most platforms—even during delisting. However, investors should consult financial advisors and stay informed about legal developments.

What This Means for the Future of Crypto Regulation

The potential return of XRP to Coinbase isn’t just about one token—it symbolizes a larger shift toward regulatory clarity in the digital asset space. As courts begin defining the boundaries between securities and commodities, exchanges gain clearer guidelines for listing decisions.

This evolving framework benefits all stakeholders:

Coinbase’s wait-and-see approach underscores a maturing industry where growth is increasingly tied to adherence to legal standards—not just technological innovation.

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Core Keywords

As the crypto ecosystem evolves, moments like these highlight the importance of patience, due diligence, and strategic foresight. While many await XRP’s return to major platforms, the broader takeaway is clear: regulatory clarity isn’t just coming—it’s already reshaping how digital assets are treated in mainstream finance.