Observers suggested that the move might be part of OKX's regulatory compliance efforts.
The price of several privacy-focused cryptocurrencies, including Zcash (ZEC) and Monero (XMR), fell after crypto exchange OKX announced on Dec. 29, 2023, that it would delist them on Jan. 5, 2024, citing misalignment with its listing criteria.
Market Impact of the Delisting
Data shows the entire privacy cryptos sector declined by 3.4%, affecting major cryptocurrencies:
- Monero (XMR): -2.4%
- Zcash (ZEC): -9.37%
- Dash (DASH): -14%
Other tokens delisted include Powerpool (CVP), Horizen (ZEN), and several non-privacy assets like Kusama (KSM) and Flow (FLOW).
"We will delist the above-mentioned trading pairs at the delisting times listed above. We advise users to cancel orders pertaining to these trading pairs before the delisting. Otherwise, the system will automatically cancel these orders." — OKX
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Deposits for affected coins were halted, and withdrawals will cease by March 5, 2024, giving users time to move assets. Post-delisting, trading these tokens will no longer be possible.
Exceptions and Market Reactions
Interestingly, some privacy coins like MINA remained listed and surged 7.5% after the announcement.
Why Is OKX Delisting Privacy Coins?
While OKX hasn’t specified exact reasons, analysts speculate regulatory compliance is a key factor. Privacy coins face scrutiny due to potential misuse in illicit activities.
Earlier, Binance similarly delisted privacy tokens for European users to adhere to local laws.
Key Takeaways:
- Privacy coins face increasing regulatory pressure.
- Exchanges like OKX and Binance adjust listings for compliance.
- Investors should monitor policy changes affecting crypto markets.
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FAQ
1. Why did OKX delist Zcash and Monero?
OKX cited misalignment with listing criteria, likely tied to regulatory concerns over privacy coins.
2. Can users still withdraw delisted coins?
Yes, withdrawals remain open until March 5, 2024.
3. Are all privacy coins being delisted?
No, exceptions like MINA remain listed.
4. How did the market react?
Privacy coins dipped, with Zcash falling ~9% and Monero down 2.4%.
5. Which other tokens were delisted?
Non-privacy assets like Kusama (KSM) and Flow (FLOW) were also affected.
6. Is this part of a broader trend?
Yes, exchanges like Binance have taken similar steps for compliance.