Key Takeaways:
- Kraken will cease support for Monero (XMR) in Ireland and Belgium due to new EU regulations targeting privacy-focused cryptocurrencies, effective from May 10 for trading and June 10 for withdrawals.
- Post June 10, any remaining Monero balances in user accounts will be automatically converted into Bitcoin (BTC), aligning with Kraken’s compliance efforts with local regulations.
- Despite Kraken’s and other exchanges’ delistings of Monero in response to regulatory pressures, Monero’s market price remains stable around $132.35, suggesting market resilience amidst these changes.
Kraken, a major cryptocurrency exchange, has declared that it will soon cease support for Monero (XMR), a privacy-oriented cryptocurrency, for its users in Ireland and Belgium.
This decision follows upcoming regulatory changes within the European Union that restrict crypto asset service providers (CASPs) from handling privacy-focused cryptocurrencies.
Kraken set to delist Monero in Ireland and Belgium, convert remaining balances to bitcoin https://t.co/bI0TsfxbOR
— The Block (@TheBlock__) April 11, 2024
Starting May 10, Kraken will no longer allow trading or deposits of XMR.
The exchange also mandates that all margin trading positions involving Monero be closed by this date; otherwise, they will be closed automatically by Kraken.
The final step in the delisting process will occur on June 10, when withdrawals for Monero will also be stopped for users in these two countries.
JUST IN: #Kraken will delist #Monero for users in #Ireland and #Belgium due to EU regulations against privacy-focused tokens.
— Satoshi Club (@esatoshiclub) April 11, 2024
Trading and deposits stop on May 10, with a complete delisting on June 10.
Remaining $XMR will convert to $BTC.
Kraken has further noted that any remaining Monero balances on users’ accounts after the final withdrawal date will automatically be converted into Bitcoin (BTC).
This move is in line with Kraken’s policy to ensure compliance with local regulations, which now include measures against anonymity-enhanced cryptocurrencies.
KRAKEN DEALS VICIOUS BLOW TO MONERO’S $XMR WITH MAJOR DE-LISTINGS
— BSCN (@BSCNews) April 11, 2024
– According to an official notice published earlier today, leading CEX @Krakenfx, is set to de-list @Monero’s $XMR token in key EU jurisdictions, Ireland and Belgium.
– The de-listing will take effect on June… https://t.co/6FELcEazqo pic.twitter.com/0PvDtPugmG
The backdrop to this decision includes similar actions by other exchanges.
In February, Binance also moved to delist Monero, which impacted its price briefly, demonstrating the market’s sensitivity to regulatory news.
Since 2018, several countries, including Japan and South Korea, have begun to enforce regulations specifically targeting privacy coins like Monero.
More recently, in 2023, Dubai introduced guidelines that prohibit the issuance and all activities associated with anonymity-enhanced tokens.
⚠️ @krakenfx will delist #Monero for clients in Ireland and Belgium!
— CryptoPotato Official (@Crypto_Potato) April 11, 2024
– The exchange announced that $XMR margin positions need to be closed by May 10 when trading and deposits will be halted too
– Withdrawals will be stopped on June 10, and remaining balances be converted to $BTC pic.twitter.com/3qPKttKSJm
Other exchanges like Huobi and OKX have also delisted Monero in compliance with global regulations, citing the need to maintain a compliant and robust trading environment.
Kraken’s recent regulatory approval for money license registrations in Spain and Ireland contrasts these delistings, highlighting the complex and evolving landscape of cryptocurrency regulation globally.