Etoro, an Israel-based trading platform, has taken action on its platform regarding cardano and tron trading. Now, US-based customers will have limited functionality with these cryptocurrencies on the Etoro platform starting in December. Etoro explained in an article that these new measures were the consequence of “business considerations in the constantly changing regulatory environment”.
Etoro limits Cardano and Tron Trading for US-based clients
Etoro, one of the largest Israel-based trading companies, has restricted trade in tron and cardano for users based in the United States. the platform. Users will no longer be able to open positions for these cryptocurrencies from December 26 and will no longer be able to stake these assets from December 21.
However, this only applies to new positions. Existing positions will need to be maintained by users, but once closed, transaction payment (if any) will be processed in dollars. In addition, the positions in the smart wallets will be converted to personal positions so that the user can hold them. Etoro said he was taking these steps because of “business considerations in an ever-changing regulatory environment.” The company is probably trying to protect itself from the regulatory uncertainty facing the cryptocurrency industry in the United States.
The unexpected measures taken by Etoro caused a reply by Charles Hoskinson, the founder of Cardano. Hoskinson spoke about the general issues of regulatory uncertainty facing cryptocurrency around the world, and particularly in the United States. On this, Hoskinson said:
It appears to be an adjustment of risk control and policy for a particular European entity and liquidity has been reduced for the US participants.
At the same time, Bitstamp, another European cryptocurrency exchange, announced that it will include cardano on its platform. This would support Hoskinson’s aforementioned assessment, which suggests that Etoro’s constriction is just a single platform specific action, and not a symbol of a global trend towards exclusion. Hoskinson also clarified that Etoro’s stock will not affect the currency’s liquidity in the market, as it is a relatively small platform for the token.
Hoskinson also called for clarity in the regulations, saying this would be the only way to address all of these issues. on the other hand, Justin Sun, the founder of Tron, has not made any statement about it.
What do you think about Etoro limiting Cardano and Tron functionality on his platform? Tell us in the comments section below.
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