Binance, the largest and most reputed cryptocurrency exchange in the world seems to have a larger impact on the cryptocurrency market than what was perceived. Bittrex, the Seattle-based exchange has followed suit announcing an update for their US customers.
On June 14, the Changpeng Zhao-led exchange updated their Terms of Service, which led to their US customers losing access to trading services on the exchange. The restriction of US-based customers will be accompanied by the launch of Binance.US, an American specific cryptocurrency exchange, in association with FinCEN registered BAM trading services.
Less than a day after Binance announced its decision to quit, albeit temporarily, the US market, Bittrex revealed its “Market Availability Changes for U.S. Customer.” The change in service which will be effective from June 28 will see over 40 cryptocurrencies “transition” to Bittrex International.
The terms stated,
“This change DOES NOT affect the availability of these markets on Bittrex International for non-U.S. Customers. “
Bittrex stated that the US customers can buy or sell the coins and tokens, any open order can be canceled or replaced or the assets can be withdrawn, all prior to the above-mentioned date.
However, post 28 June, the US customers cannot engage in any transaction related to the digital assets, but withdrawal and holding of the same will be allowed “for as long as Bittrex International supports a market in those Tokens/Coins.”
With prominent virtual currencies amassing millions in market cap like Aragon [ANT], Civic [CVC], TenX [PAY] among others, removed from the BittrexUS market, there seems to be an “altcoin exodus” in the mix. Many analysts have opined that this could trigger a domino effect with other exchanges following suit, leading to several little known altcoins being dumped.
Don Alt tweeted,
“This is an altcoin exodus.
If we assume these coins will all not be on Binance US either (Regulation for Bittrex and Binance is the same) they’ll lose the entirety of the US market.”
These alts might not capitulate into nothingness, they might just get delisted into it.
Hailey Lennon of bitFlyer, stated,
“Regulators now have multiple examples of how regulation stifles innovation in the US”
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