- June 27, 2023
- Posted by: [email protected]
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Binance, the cryptocurrency exchange, has decided to backtrack on its plan to delist several privacy coins in Europe. The reversal came after the exchange revised its operations to align with local regulations. Binance took into account feedback from the community and various projects before making this decision.
In a statement received on June 26, Binance explained, “After carefully considering feedback from our community and several projects, we have revised how we classify privacy coins on our platform to comply with EU-wide regulatory requirements.” The exchange emphasized its obligation to follow local regulations as it operates in multiple European Union jurisdictions. These regulations require exchanges to monitor transactions involving listed coins.
Initially, Binance had intended to delist privacy tokens for users in France, Italy, Spain, and Poland. This would have prevented them from buying or selling 12 privacy tokens starting on June 26. However, as per the emails sent to users, certain privacy coins such as BEAM, XMR, MOB, FIRO, and ZEN are still subject to restrictions.
Following the withdrawal of the overall ban, several projects have taken to Twitter to reassure their communities. Verge Currency, for example, provided an update on June 22, stating that it would remain unaffected by Binance’s trading restrictions on privacy coins in certain EU countries. Verge highlighted the transparency of its public blockchain, which displays transaction details, amounts, and wallet addresses.
Another currency, the Secret Network, also confirmed that Binance would not delist it. These decisions by Binance coincide with the European Union’s efforts to establish standards for digital assets through its new Markets in Crypto-Assets (MiCA) regulations, signed into law on May 31.
The EU aims to create a favorable environment for cryptocurrencies and digital assets by introducing clear regulations. In July, the European Securities and Markets Authority plans to launch a MiCA consultation process, with the laws allowing for an 18-month timeline before full implementation. Market participants, including Ripple, a cryptocurrency payments service provider, have welcomed the regulatory clarity provided by the MiCA regulations.
