Monero (XMR) delisted on Kraken due to “UK regulation”

November 22, 2021

Kraken has announced that Monero (XMR) will no longer be listed following issues related to compliance and regulation law in the United Kingdom.

Kraken announced the news to users of the platform (as quoted by Reddit user) explaining that all Monero activity will be ceased at the end of this week, November 26th, and any XMR held in wallets on the exchange will be force-liquidated. At this point, all XMR activity will be limited to withdrawals only. From tomorrow, all Monero wallets margin positions will be set to reduce only. According to the platform, this comes as a response to “UK regulations”.

Monero is a privacy token, with transactions made private through advanced cryptography, which hides all public wallet addresses and payment transactions from the public blockchain. This is unlike Bitcoin, which is anonymous but completely open and transparent, with all wallets and transaction amounts open to the public – without specific details listing who the wallets are registered to.

While the token might be delisted, the transaction volumes haven’t taken a massive knock. The total market cap on privacy coins stands strong at nearly $15 billion, despite critic opinions and regulation issues.

Monero privacy: Protective or problematic?

As a result of the strong focus on privacy, Monero has two sides of the argument. Proponents believe that there is greater personal protection from privacy, with the high improbability of being able to be traced back to an open address. It caters to both the decentralization of blockchain, alleviating transparency. Others criticize privacy tokens, however, pointing out that the completely untraceable nature of the coins makes it ideal for criminal activity, whereby there is very little chance of funds being tracked – which can be used for tax evasion, money laundering, and other illicit dark-web purchases. Because of this, cryptocurrency exchanges working under government regulation struggle to list the token with know-your-customer (KYC) and anti-money laundering (AML) protocol in place. Coinbase has delisted Monero, as well as Bittrex which took ZCash and Dash down too.