Upbit Cracks Down on Privacy Coins: What You Need to Know

Say Goodbye to Privacy Coins

In a surprising twist for crypto enthusiasts, South Korean exchange Upbit has announced it will be discontinuing support for six cryptocurrencies, specifically targeting those infamous for their anonymity features. As of September 30, Monero (XMR), DASH, ZCash (ZEC), Haven (XHV), BitTube (TUBE), and PIVX will no longer have trading support on the platform.

The Delisting Decision

According to Upbit’s notice dated September 20, reasons for this action are rooted in compliance concerns. The exchange is taking proactive measures to combat potential money laundering activities linked to these privacy coins. Coincidence or coincidence? Apparently, compliance with international regulations is starting to look serious.

Deposits? Forget It!

To make the transition smoother (or not), Upbit has clarified that it will also halt support for deposits in the aforementioned cryptocurrencies. This means that you’ll need to cancel any open orders using Korean won, Bitcoin (BTC), Ether (ETH), or USDT before the axe drops. Talk about a digital cash grab gone wrong!

Following the Trend

Hot on the heels of Upbit’s announcement, OKEx Korea also decided to delist five major altcoins with similar privacy features. Their deadline? October 10. It seems everyone’s jumping on the compliance bandwagon, primarily focused on aligning with regulations from the Financial Action Task Force (FATF), established back in 1989.

The FATF Factor

“The FATF sets policies to combat money laundering, and while following its guidelines isn’t mandatory, the risk of being blacklisted is real.”

While the FATF isn’t exactly a lawmaker, opinions about its influence can vary:”Keep your crypto safe and compliant” seems to be the motto now. The recommendations issued by the FATF have urged nations to tighten their grip on cryptocurrencies, especially those trades over $1,000 that remain elusive in the realm of decentralized technology.

What’s Next for Exchanges?

It’s a growing trend that could reverberate through the crypto industry, with more exchanges likely to follow Upbit’s, and OKEx Korea’s lead. With privacy coins facing the heat, could this spell the end of anonymity in the crypto space? Only time will reveal the fate of our beloved privacy-oriented coins.