Crypto exchange Bittrex has announced on delisting privacy coins such as Monero (XMR), Zcash (ZEC), and Dash (DASH) on January 15, at 23:00 UTC. The motive behind the exchange’s sudden decision to remove the cryptocurrencies is still unclear. The exchange, however, cited evolving regulatory standards and other compliance issues among its reasons for delisting the tokens.
There has been an increased surge in coin delisting among exchanges in the world due to stringent regulations towards know-your-customer (KYC) and anti-money laundering (AML) laws. For instance, last month, the Financial Action Task Force (FATF) announced new anti-money laundering (AML) measures.
Regulators are hunting down privacy cryptocurrencies due to their reputation of being facilitators of criminal activities. For instance, a notable darknet marketplace, White House Market currently accepts only Monero (XMR) because of its privacy features. Recently, the marketplace even delisted Bitcoin (BTC) due to its traceability.
Upon the announcement of the delisting, the valuation of all the three coins has fallen down dramatically. For instance, XMR is down by 14.44%, ZEC is down by 12.28% while DASH by 12.08%.
All three tokens are often described as privacy coins. Monero (XMR) is private by default while Zcash (ZEC) and Dash (DASH) do have options for private transactions. Unlike Bitcoin and other cryptocurrencies, privacy coins maintain the confidentiality of a user by keeping their transactions and addresses private.
Bittrex is one of the first major US-based exchanges to delist all the three privacy cryptocurrencies. One can only speculate now whether other exchanges in the country will follow the lead of Bittrex or the delisting news will only cause disruption in the crypto market.
The move follows Bittrex recently delisting XRP cryptocurrency from their platform after the U.S. Securities and Exchange Commission filed a lawsuit against Ripple for raising $1.3 billion in ongoing unregistered securities sales.