•eToro is an Israeli multi-asset investment platform that will be delisting four tokens — ALGO, MATIC, MANA, and DASH — for US customers starting July 12th.
•This comes shortly after a similar move by Robinhood in June of delisting SOL, MATIC, and ADA due to the SEC’s recent enforcement strategy towards cryptocurrencies.
•US customers can still hold and sell open positions in these tokens, but they will no longer be available for trading on eToro.
Etoro to Limit US Customers’ Access to Four Major Cryptocurrencies
Background Information
eToro is an Israeli multi-asset investment platform widely known for social trading. It recently announced that it would be delisting ALGO, MATIC, MANA, and DASH for US customers starting July 12th. This comes shortly after a similar move by Robinhood in June of delisting SOL, MATIC, and ADA due to the SEC’s recent enforcement strategy towards cryptocurrencies.
Impact on US Customers
US customers are still able to hold and sell any open positions in these tokens; however they will no longer be available for trading on eToro. The change won’t have an impact on non-US customers.
SEC Lawsuit Against Coinbase & Binance
eToro makes no mention of the SEC lawsuit against the two largest cryptocurrency exchanges – Coinbase and Binance – but claimed it was taking the action “in light of recent developments” as four tokens mentioned were classified as securities during the most recent legal actions by the SEC.
Conclusion
With the SEC’s recent enforcement strategy toward cryptocurrencies more businesses may follow in the footsteps of eToro and Robinhood in order to avoid regulatory issues that could further negatively impact users based in the US.
