Bittrex Delisting Privacy Coins Monero (XMR), Zcash (ZEC), and DASH Without Any Explanation
Kraken CEO dispels any regulatory pressure, says market removal could be something business-specific. Meanwhile, these coins drop 17% to 23% while DASH argues its “privacy functionality is no greater than Bitcoin’s.”
Cryptocurrency exchange Bittrex has announced the removal of privacy coins from its platform after removing XRP markets for its US customers. Monero (XMR), Zcash (ZEC), and DASH are the affected cryptocurrencies.
Starting Jan. 15, 2021, 23:00 UTC, BTC-XMR, ETH-XMR, USDT-XMR, BTC-ZEC, ETH-ZEC, USDT-ZEC, USD-ZEC, BTC-DASH, ETH-DASH, USDT-DASH, and USD-DASH would no more be available on the platform.
After this, Bittrex users would have up to 30 days, a period that may be shortened in “certain instances,” to withdraw any of these delisted tokens. The exchange states, after the withdrawal deadline, “there may be circumstances under which a user may not be able to withdraw a token due to events outside of Bittrex’s control.”
From a technical standpoint, Dash’s privacy functionality is no greater than Bitcoin’s, making the label of “privacy coin” a misnomer for Dash. We have reached out to @BittrexExchange to request a meeting with their compliance team. Hopefully this will be rectified soon. https://t.co/QA66OoshPn
— Dash (@Dashpay) January 1, 2021
Up until now, only XRP XRP 0.74% XRP / USD XRPUSD $ 0.27
$0.000.74% Volume 2.92 b Change $0.00 Open $0.27 Circulating 45.4 b Market Cap 12.48 b 3 d Barclays Bank Executive Bashes ‘Uninvestable’ Bitcoin for Its Volatility 4 d Ripple Co-Founder, Jed McCaleb, Resumes Selling Spree; Dumps 28 Million XRP in 24 Hours 5 d IOHK's Charles Hoskinson Shares Cardano's 2021 Roadmap; ADA's Recent Rise trading and deposits were suspended and only for the US customers due to SEC’s lawsuit against Ripple and its two executives for allegedly selling unregistered securities, but now more cryptos are being targeted. Trader CryptoSqueeze noted,
“Privacy coins are the next on the target list. Bittrex might just be the beginning. This is gonna be a rough and uncertain year for alts.”
Bitcoin BTC 5.83% Bitcoin / USD BTCUSD $ 33,851.96
$1,973.575.83% Volume 58.84 b Change $1,973.57 Open $33,851.96 Circulating 18.61 m Market Cap 629.99 b 21 min Bank of Singapore's Chief Economist Says Cryptocurrencies Could Edge Out Gold 1 h Celsius Network Grew 10x in 2020; CEO says 'Huge' Interest from Retail & Institutions for BTC, ETH & Other Crypto's 1 h Nasdaq-Listed Bitcoin Miner Marathon Buys 4,812 BTC ($150M) for Treasury Reserves and Ethereum ETH 6.42% Ethereum / USD ETHUSD $ 1,401.89
$90.006.42% Volume 42.31 b Change $90.00 Open $1,401.89 Circulating 114.4 m Market Cap 160.37 b 1 h Celsius Network Grew 10x in 2020; CEO says 'Huge' Interest from Retail & Institutions for BTC, ETH & Other Crypto's 3 h Uniswap Generating More Network Fees than Bitcoin; Total Fees on ETH Reaches BTC All Time High 3 h 10k ETH Holding Addresses Hits 13-Month High While Exchange Balances Hits 15-Month Low are free from any such uncertainties because they have been explicitly stated by regulators to not be a security because they are decentralized.
Meanwhile, Bittrex’s lack of explanation on their motive behind this decision has led the crypto twitter (CT) to speculate.
“Privacy is a constitutional right, not a crime,” said Jake Chervinsky, General Counsel at Compound Finance who shares his disappointment on exchanges removing crypto assets with privacy-preserving features. “There's no law or regulation requiring this, just DOJ's opinion that privacy is “indicative of possible criminal conduct,’” he added.
The de-listing of privacy coins from regulated exchanges was the inevitable escalation in govt attempts towards totalitarian financial surveillance.
Ironically, while this shows these privacy coins work, the market is "upset"
Decentralized exchanges still list them ;-)
— Andreas M. Antonopoulos (@aantonop) January 1, 2021
According to Josh Swihart, SVP of Growth at Electric Coin Company, the creators of Zcash, there could be more than what meets the eye here. He pointed out how US-based crypto exchanges Gemini and Coinbase recently added additional support for ZEC.
Meanwhile, other crypto exchanges clarified that there isn’t any regulatory pressure to delist these privacy-focused cryptos.
“Haven’t heard of anything on the regulatory side. Presumably, it’s something specific to their business,” said Jesse Powell, co-founder, and CEO of crypto exchange Kraken. He also shared that these cryptos meanwhile are not supported by Kraken in Australia because of being “banned by local fiat funding rails” and that they are working on the alternatives.
Zcash $ZEC is easily the most underrated crypto right now. It brings privacy to money, which is a fundamental building block of a free and open society. Proud that @Gemini supports this noble project with @NYDFS approval.
— Tyler Winklevoss (@tyler) January 1, 2021
For now, the damage has been done to these cryptos price-wise as they performed poorly following the delisting news.
XMR dropped over 11% in the last seven days and is currently trading around $138, DASH lost 17% of its value in the last seven days and is now trading at $89 and after a 13% drop, ZEC is now keeping around $58.
Some believe XMR, DASH, ZEC’s loss can be Litecoin’s gain which is working on bringing privacy to the network. Ever since Bitcoin bulls went crazy in Oct., LTC also moved in tandem, up 183% in the last three months to climb the levels not seen since June 2019.