Coinbase Global, the largest digital asset trading platform in the U.S., has announced that it will suspend the trading of six major cryptocurrencies from its platform. The decision comes after a routine internal review carried out by the exchange for the month of March.
Reasons for Delisting Six Altcoins
In a recent tweet, Coinbase stated that it periodically monitors the assets on the exchange to ensure they meet the company’s listing standards. Following an assessment and subsequent reviews, the exchange has decided to suspend the trade of six altcoins. These cryptocurrencies are Rally (RLY), DFI Money (YFII), Mirror (MIR), OMG Network (OMG), Loom Network (LOOM), and Augur (REP).
Suspension of Trading and Fund Accessibility
Coinbase has informed its customers that trading of these altcoins will be suspended across all levels, including basic and advanced levels, and across all platforms, including Coinbase Pro, Coinbase Exchange, and Coinbase Prime. However, customers will still be able to access their deposited funds and withdraw them whenever they choose to. The suspension will take effect on March 29, 2023.
Price Reaction to Coinbase News
As soon as the news of the delisting was made public, the prices of all six cryptocurrencies experienced a significant decline. Augur, with a market cap of $91 million, saw a sharp fall of 2% within minutes of the announcement and is currently trading at $8.2.
DFI Money and OMG Network also suffered a similar drop of 1% and 1.12%, respectively, in the same time frame. In contrast, the native token of the Loom Network, LOOM, outperformed the other tokens by increasing by 0.25% in the past half-hour.
Coinbase’s decision to delist these six altcoins reflects the exchange’s commitment to maintaining high standards of listing and protecting its customers’ interests. While this may have led to a temporary decline in the prices of these cryptocurrencies, the market is likely to adjust as investors and traders look for alternative platforms to trade them.
However, this decision by Coinbase also raises questions about the future of these cryptocurrencies, their viability in the market, and the role of exchanges in regulating the crypto space. Will other exchanges follow in Coinbase’s footsteps? Will the delisted coins recover in price on other platforms?