eToro exchange Delists Cardano’s Ada and Trx, Sends Them To Months-Low

eToro Exchange Logo
eToro Exchange Logo

Charles Hoskinson the founder of Cardano said on Twitter, this week, that he is surprised by the decision of eToro to delist Ada token for U.S. traders. 

eToro, an online Israeli-based trading exchange, said on Tuesday it would delist ada. The exchange will also delist Tron foundation’s Trx token for American users by December 26. Ada has been on eToro since 2018. 

According to Insider, eToro argued that “the rapidly shifting regulatory landscape was behind its decision to limit the ability of US customers to open new positions in the two digital currencies.” 

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Hoskinson founded Cardano in 2015. The software developer said that eToro still needs to further clarify the decision of delisting Ada for US customers.

“There’s currently nothing we’ve received, no regulatory event, no subpoena, nothing from any regulatory agency, no threats of lawsuits, none of these things, that’s why we’re so blindsided by it, because actually, the trend has been over the last six months a significant increase of liquidity on cardano,” Hoskinson said. 

“On our side, we had no indication of this from eToro and it’s rather unfortunate that nothing was sent our way,” he said. 

Following the news, the digital token lost 4.8% of its value. It reached its three months low while Trx plunged 5% to a one-month low on Wednesday.

However, Ada is still one of 2021’s top performers. The cryptocurrency soared 850% this year turning it into the sixth-largest cryptocurrency by market value, according to Coinmarketcap. The figure gains are still higher than Bitcoin’s 102% increase.

Cardano’s ada has been listed by some of the biggest exchanges. It was listed on Coinbase on March 19 this year and on Binance in 2017, and Kraken listed it in 2018. Bitstamp decided to list ada last Thursday. The altcoin is not listed on Gemini yet. 

“We at least could have better understood the reasons and we’ll, of course, reach out on our side to better understand reasons but it’s primarily the foundation’s responsibility,” Hoskinson said, referring to the Cardano Foundation, a non-profit organization in Switzerland that is the custodian of the Cardano brand.

While eToro’s decision is surprising, Hoskinson was positive. 

“It doesn’t surprise me from the perspective of these things happen. Everybody has a different compliance desk. Everybody has a different regulatory tolerance. Everybody has a different customer base,” he said.