eToro will delist Cardano (ADA) by the end of 2022. The move was announced on Tuesday in a press release.
eToro is a well-known trading exchange among investors. It allows both stock and cryptocurrency trading with the social trading feature.
The US-based Customers of eToro will no longer be able to open new positions in Cardano (ADA) and Tron (TRX) from December 31st. Moreover, the selling of the coins will also be curtailed with the withdraw-only mode until the first quarter of next year.
Cardano’s customers were taken aback by this news. The company mentioned regulatory concerns as the reason for this drastic measure.
ADA has not been in the cross-hair of regulators. However, it is still facing trouble caused by financial regulatory bodies in the United States.
Crypto regulations are a bane of crypto industry. Many popular crypto exchanges abandoned XRP when the founders of the project faced a lawsuit brought in by Security and Exchange Commission (SEC). Monero, a privacy coin, also suffered scrutiny after its use for illicit purposes by some.
Cardano is among the top 10 cryptocurrencies according to market capitalization. It saw a surge in price this year breaking the psychological barrier of $3. Nonetheless, it has failed to pump since the second bull run of bitcoin started in the month of October.
eToro’s decision will likely have an impact on the price of ADA. The regulatory pressure may cause other platforms to withdraw support for Cardano. However, we don’t have the details of the matter yet. Let’s see how Cardano’s developers react to the news and what steps they take to comply with regulatory demands.