There’s Backlash Against Binance for Delisting Monero
Leading cryptocurrency exchange Binance is facing backlash from the cryptocurrency community after moving to delist the privacy-centric cryptocurrency Monero ($XMR). The move led to a significant price and trading volume drop for the token.
Allegations Against Binance
The move came amid concerns that Monero’s use of stealth addresses does not align with Binance’s requirement for transactions from publicly transparent addresses. The backlash from the cryptocurrency community on various social media platforms has been notable.
Fueling Speculation
This speculation was fueled further by the timing of the announcement, which occurred just a day after Treasury Secretary Janet Yellen emphasized the need for stricter cryptocurrency regulations.
Price Drop and Recovery
Binance’s announcement saw the price of XMR plunge from around $165 to little over $100 before it started recovering, to now trade around the $130 mark.
Response to Concerns
In response to the community’s concerns, Binance’s Customer Support team engaged with users through a generic response to queries, a move that as met with frustration from the community.
Binance’s Defense and Past Issues
The exchange defended its actions by stating that it regularly assesses listed digital assets against a set of high standards, and delisting occurs when a coin no longer meets these criteria or when industry standards evolve. Notably, last year, Binance agreed to pay one of the largest corporate penalties in U.S. history after a coalition of federal regulators accused the exchange of breaking sanctions and money-transmitting laws.
Hot Take
The delisting of Monero by Binance has sparked controversy and fueled speculation about the exchange’s adherence to regulations. The move has led to a significant price drop in XMR and raised concerns about the influence of regulatory pressure on Binance’s decisions.
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