Exchange of cryptocurrency Poloniex removes eight coins from the list: BitcoinDark (BTCD), Bitmark (BTM), Einsteinio (EMC2), Gridcoin (GRC), NeosCoin (NEOS), PotCoin (POT), VeriCoin (VRC) and BitcoinPlus ( XBC).
The announcement was made today, September 19, 2018. The coins will be canceled from the list on September 25, 2018 and the exchange says that traders have 30 days to close the transactions and withdraw the balances from their accounts. Poloniex says the move is part of a "continuous effort to improve the performance of the exchange and better serve our customers."
A spokesman for Circle, the parent company of Poloniex, told Bitcoin Magazine that the coins were canceled according to the guidelines specified in the Circle & # 39; s Asset Framework.
Circle did not specify what criteria the projects failed to satisfy. However, the volume of Poloniex has slipped in recent months. At the beginning of the year, according to CoinMarketCap, it was the 14th largest cryptocurrency exchange with a 24-hour trading volume. Now, he is at number 34 (at the time of publication).
Most of the coins that have been removed from the list look like less known projects. Many have seen huge drops in price from the start of the year. However, being removed from a larger bag as Poloniex can ring a death knell for small projects, precipitating the price of a coin overnight.
Poloniex announced that they are removing us from their exchange causing a price collapse. First decision to consider that we are about to release our latest version.
– BITCOINPLUS (XBC) (@BitcoinPlusOrg) 18 September, 2018
And for the others, the news seems to have caught them completely off guard.
Einsteinium's chief strategist, Ben Kurland, stated at Bitcoin Magazine that the announcement came as a "complete shock". He said he received the news just as they were solving a portfolio problem with the Poloniex development team. "We were not informed in advance and did not warn that this would happen," he wrote.
Neos, the project behind NeosCoin, issued a statement regarding the delisting of Reddit. In response to a Reddit poster claiming that the delisting was probably the result of Neos' failure to expire after the deadline, Neos explained that his project was only a "two-man show for the longest time". The answer provided a window on how small some of these operations may be.
The delisting also comes at a time when Poloniex is trying to refine its action for regulators. The startup of the cryptocurrency supported by Goldman Sachs Circle bought Poloniex in February 2018, with the goal of " clean up " the exchange and turn it into an alternative trading system, or ATS, which would bring the exchange under regulatory supervision.
In March 2018, the US Securities and Exchange Commission (SEC) issued a clear trade warning that initial money supply tokens (ICOs) may be considered non-compliant securities. Any exchange that lists securities needs to register as a national stock exchange or operate with an exemption and is proposed as an alternative trading system.
The move requires Poloniex to register with the SEC as a broker-dealer and become a member of a self-regulation organization (SRO), such as the Financial Industry Regulatory Authority (FINRA).
Between a tight regulatory environment and demands for greater security, delisting currencies could become a more regular event in the coming months.