In a recent announcement, Coinbase revealed plans to discontinue support for several cryptocurrencies, including Bitcoin Cash (BCH), XRP, Ethereum Classic (ETC), and Stellar Lumens (XLM), along with their respective networks. The exchange cited “low usage” as the primary reason behind this strategic move—a common justification in the evolving digital asset landscape.
However, Coinbase emphasized that the delisting does not equate to asset loss for users. Investors holding these tokens will retain full access to their funds via the Coinbase Wallet recovery phrase, ensuring continued control over their private keys and on-chain assets.
Typically, such delisting news triggers market-wide concern, often leading to price dips and investor anxiety. But this time, the market reaction has defied expectations. While Bitcoin Cash and Ethereum Classic saw only marginal increases—up to 1%—XRP and XLM bucked the trend, posting gains between 2% and 4% within 24 hours of the announcement. Notably, both assets began trending across social platforms like Twitter, reflecting renewed community engagement and bullish sentiment.
👉 Discover how major crypto networks thrive even after exchange delistings
Why Are XRP and XLM Defying Market Expectations?
The resilience of XRP and XLM following the Coinbase delisting suggests deeper fundamentals at play. Unlike speculative tokens driven purely by exchange availability, both assets are anchored in real-world utility through high-performance blockchain networks focused on cross-border payments and financial inclusion.
On-Chain Activity Shows Strength
Despite losing a major exchange listing, on-chain metrics reveal robust network health:
- Ripple (XRP) ranked 4th among the most active blockchains at the time of reporting.
- Stellar (XLM) secured the 9th position in the same ranking.
Over the past 24 hours:
- $659 million worth of value was settled on the Ripple network.
- The Stellar network processed $21.01 million in transaction volume.
Transaction fees also reflect consistent usage:
- Ripple generated $387.37 in fees.
- Stellar collected $98.71—modest but stable for its scale and target use cases.
More importantly, address activity surged post-announcement:
- Stellar: Active addresses jumped from 81,300 to 86,700.
- Ripple: Increased from 44,600 to 54,930—a significant 23% rise in just one day.
An active address is defined as one participating in a successful transaction. Rising numbers indicate growing user engagement, suggesting that real-world adoption—not just exchange trading—is fueling momentum.
This data contradicts the narrative that delisting equals decline. Instead, it highlights a maturing ecosystem where infrastructure usage outweighs exchange visibility.
Investor Sentiment: Recovery Amid Challenges
While network fundamentals appear strong, investor sentiment tells a more nuanced story.
XLM: Rebounding from Recent Lows
At the start of November, XLM reached a local peak near $0.12**, but quickly corrected down to **$0.082—an 80% drop from its high. Since then, it has recovered slightly to around $0.089, showing signs of stabilization.
However, risk-adjusted returns remain concerning. The Sharpe Ratio for XLM stands at -2.15, indicating poor returns relative to volatility. In simple terms, investors have endured significant price swings without receiving proportional gains—typical during bearish or uncertain market phases.
Still, the recent uptick in price and on-chain activity may signal improving confidence, especially as Stellar continues partnerships with financial institutions and remittance providers across emerging markets.
XRP: Holding Ground Amid Regulatory Headwinds
XRP faced a similar trajectory. After peaking near $0.50** in November, it dipped to current levels around **$0.40. Though down from highs, this represents relative stability given broader market conditions.
The Sharpe Ratio for XRP is currently at -0.78, which, while negative, is far better than XLM’s. This suggests that despite risks—particularly ongoing regulatory scrutiny—XRP holders have experienced less volatility relative to return.
Crucially, Ripple’s continued expansion in global payments, including deals with central banks and financial institutions in the Middle East and Asia-Pacific, supports long-term value propositions beyond retail trading.
What’s Driving This Disconnect Between Exchange Listings and Price Action?
The divergence between delisting news and positive price movement raises an important question: Why are XRP and XLM rising when support is being removed from a top-tier exchange?
Here are three key reasons:
1. Real Utility Trumps Exchange Listings
Both Ripple and Stellar were built for institutional-grade financial settlement. Their value isn’t solely tied to speculative trading but to actual use cases:
- Cross-border remittances
- Central bank digital currency (CBDC) integration
- Low-cost microtransactions
Even without Coinbase support, these networks continue serving partners worldwide—making them less dependent on any single exchange.
2. Decentralized Wallet Adoption Is Growing
With Coinbase clarifying that users retain access via wallet recovery phrases, many investors are migrating to self-custody solutions. This shift promotes decentralization and aligns with crypto’s original ethos—reducing reliance on centralized platforms.
👉 Learn how decentralized wallets empower users after exchange delistings
3. Community Resilience and Speculative Momentum
Strong communities around XRP and XLM have historically responded to adverse news with coordinated support. Social sentiment analysis shows spikes in positive discussions following the delisting announcement—indicating belief in long-term viability.
Additionally, short-term traders may be capitalizing on the "buy the rumor, sell the news" pattern, pushing prices higher amid reduced selling pressure.
Frequently Asked Questions (FAQ)
Why did Coinbase delist XRP and XLM?
Coinbase cited low trading volume and minimal user activity as reasons for discontinuing support. It's a business decision based on resource allocation—not necessarily a reflection of a project's long-term potential.
Does delisting mean I’ve lost my XRP or XLM?
No. Delisting only removes trading pairs from the exchange. Your assets remain accessible via your wallet recovery phrase if stored on Coinbase Wallet or another non-custodial solution.
Can I still trade XRP and XLM elsewhere?
Yes. Multiple major exchanges—including OKX, Binance, Kraken, and Bitfinex—continue to support trading for both tokens.
Are XRP and XLM considered dead projects?
Absolutely not. Both networks show strong on-chain activity, institutional partnerships, and active development teams. Their focus on global payments ensures ongoing relevance.
Is now a good time to buy XRP or XLM?
That depends on your investment strategy. Both assets are undervalued relative to past highs and show improving fundamentals. However, always conduct independent research and consider risk tolerance before investing.
How do I store XRP and XLM safely after delisting?
Use a non-custodial wallet like Trust Wallet, Ledger, or Coinbase Wallet. Ensure you securely back up your recovery phrase—this is your only way to access funds if removed from an exchange interface.
Final Thoughts: Delisting Isn’t Death
The Coinbase delisting of XRP and XLM serves as a reminder that exchange listings are not endorsements, nor are they permanent fixtures. What matters more is network adoption, developer activity, and real-world utility—all of which remain strong for both ecosystems.
While short-term price movements can be influenced by sentiment, long-term value stems from consistent innovation and deployment. For informed investors, events like these present opportunities to reassess fundamentals rather than react emotionally.
As decentralized finance evolves, assets with genuine use cases will continue to thrive—regardless of where they’re listed.
👉 Explore secure ways to manage your crypto portfolio beyond major exchanges