Zcash dropped for Coinbase users in UK

Coinbase is pulling support for Zcash for UK customers, according to emails to investors made public on Twitter. 

- Advertisement -

The privacy coin, which contains provisions allowing holders to “shield” transactions from observers, was available for withdrawal and deposit for Coinbase users whose addresses are transparent. 

Coinbase told customers via emails shared on Twitter that they had until August 26 to convert their holdings to fiat or move them to a third party wallet—or else Coinbase would convert it for them. 

It gave no explicit reason, only saying, “Customers in the UK will no longer be able to hold a Zcash balance with us … If you don’t convert or send your Zcash by 26th August, we’ll automatically liquidate your ZEC balance into your GBP wallet, bringing your ZEC balance to £0.00, before removing your ZEC wallet from your Coinbase account. We’ll give you reminders in advance so this doesn’t come as a surprise.”

As Coindesk points out, Zcash nominally appears to fall under the purview of “exchange tokens,” established cryptocurrencies like Bitcoin and Ethereum that were recently approved by the Financial Conduct Authority. 

Per the FCA’s guidance: “[Exchange tokens] are not issued or backed by any central authority and are intended and designed to be used as a means of exchange. They tend to be a decentralized tool for buying and selling goods and services without traditional intermediaries. These tokens are usually outside the perimeter.”

It even goes so far as to lump in “privacy tokens” with this distinction—but stops short of giving its appraisal. 

- Advertisement -

One Twitter pundit reckons the Zcash delisting has got something to do with Coinbase seeking reentry into the UK’s “fast payments” infrastructure—a service it inexplicably halted in May.

But who knows!

This is a developing story. We have reached out to the FCA, Zcash’s Zerocoin Electric Company and Coinbase, and will update with any response.

- Advertisement -



Source

Previous Articles:

- Advertisement -

Latest News

Solana ETF With Staking Launches, But Institutional Demand Low

Solana’s ETF debut with staking attracted early attention but did not lead to strong...

Ether.fi’s crypto credit card tops $10M in daily transaction volume

Ether.fi’s crypto-native credit card exceeded $10 million in daily transaction volume on June 30.The...

Burwick Law Seeks to Serve Ponzi Lawsuit via NFT to Dubai Developer

Burwick Law seeks to serve Dubai-based defendant Peter McInnes with an NFT as part...

Solana Jumps 5% on Rumors of Staking ETF Launch This Week

Solana surged by about 5% amid reports of a new staking exchange-traded fund (ETF)...

Europol Busts Crypto Fraud Ring Laundering €460M, Five Arrested

Law enforcement dismantled a cryptocurrency investment scam that stole $540 million from over 5,000...

Must Read

Are Cryptocurrency Securities?

TL;DR - Cryptocurrencies are not typically considered securities, as they are decentralized digital assets that operate independently of any central authority or government. However,...