Kraken will delist Monero (XMR) to avoid incurring the wrath of UK regulators. Crypto-currencies are currently viewed with suspicion by regulators in different countries, blaming them for the anonymity they provide and which benefits criminals.
Kraken and Monero: a victory for British regulators
Kraken has made it known via email that it will remove monero (XMR) from its platform for UK-based customers, in accordance with local regulations. The exchange will only allow withdrawals on XMR wallets, and will liquidate any open positions with margin after November 26, 2021.
One redditor who shared Kraken’s email took issue with Kraken’s decision to comply with UK regulators, citing the advantages of monero in terms of anonymity, but also speed of transactions and lower fees:
“I’m a fan of private currencies, big fan of Monero both for anonymity, fast transactions and low fees. It’s stupid and ridiculous that Kraken is removing it from their site due to “UK regulations””
Stumbling blocks to private cryptocurrencies
The anonymity conferred by monero is appreciated by its community, and criticized by regulators who put pressure on cryptocurrency exchanges. Coinbase had refused to list Monero in 2020 precisely because of these regulatory concerns. The exchange’s CEO, Brian Armstrong, had clarified that Coinbase will consider listing monero when private cryptocurrencies gain legitimacy:
“I think with enough time and education, people will be pretty comfortable with it. Anonymous cryptos will become more common over time, I hope, and maybe with the advent of more privacy solutions on Bitcoin.”
Bittrex, meanwhile, delisted XMR in January 2021, as well as private cryptocurrencies Zcash (ZEC) and Dash. The adoption of private cryptocurrencies is complicated by the authorities in different countries, but these blockades, which are certainly brakes, do not prevent their growth. Data from CoinGecko indicates that the total market capitalization of all private cryptocurrencies exceeds $15 billion at the time of writing.
Monero isn’t just in the crosshairs of regulators. Blockchain transaction analytics company CipherTrace is also making efforts to end the anonymity of the queen of anonymous cryptocurrencies.