Huobi decides to delist several privacy coins amid heavy regulatory pressure

Seven different privacy coins will be removed from the renowned crypto exchange Huobi as regulatory pressure on anonymity-enhanced currencies (AECs) increases.

According to the recent announcement by the exchanges, a variety of privacy tokens, including Dash (DSH), Firo (FIRO), Decred (DCR), Verge (XVG), Monero (XMR), Zcash (ZEC), and Horizen (ZEN), had their trading services terminated on the platform.

Notably, on September 12, Huobi halted the deposit services and informed that the delisting of these tokens will happen on September 19. Users were asked to cancel any open orders they may have for the privacy coins. The exchange will cancel any orders already in progress and credit users’ spot accounts when the privacy coins would be delisted.

Huobi stated that it worked tirelessly to adhere to the compliance standards of the more than 100 nations where its services are offered. The announcement mentioned the company’s Token Management Rules as well as other efforts to comply with the most recent financial standards.

Huobi can halt token trading under specific conditions

In accordance with Article 17(16) of its rules list, which handles “trading concealment or suspension,” Huobi Global has the power to hide or stop token trading under some specific conditions. Clause 16 specifically mentions privacy coins:

“The token is a privacy token, does not support offline signatures, or its node source codes are not open-sourced.”

The exchange also acknowledged that it has stopped offering trading services for its OTC, trading bot, ETP, margin, and futures. 

It is important to note that privacy tokens have come under close investigation in several nations around the world, with regulators in countries like Australia, South Korea, and Japan recently outlawing their use. Ina addition, as TheCoinRise reported, Financial Service Commission in South Korea is also planning to bring strict rules for token issuers.

After obtaining a Money Services Business or MSB licence from the US Financial Crimes Enforcement Network (FinCEN) in July 2022, Huobi is considering making a grand entry in the region.