Bittrex exchange reduces support to US customers
The exchange is being forced to make modifications over US regulations
Two months ago, New York turned down an application submitted by the Bittrex cryptocurrency exchange to receive a BitLicense. That authorization is required to operate any crypto trading company in the state, but New York officials said thanks, but no thanks. It appears that state regulators may have understood more than many believed, as Bittrex has now announced that it will remove support for 32 different coins, but only for US clients.
As of June 21, certain coins will no longer be accessible for purchase or sales on the platform. However, withdrawals will still be available after support is stopped. Bittrex explains in a blog post, “U.S. Customers may withdraw or continue to hold in their Bittrex wallet affected Tokens/Coins for as long as Bittrex International supports a market in those Tokens/Coins. “
The currencies being removed aren’t any top coins, but the impact will still be felt. Coins such as STORJ and QTUM will no longer be found on the US version of the platform, but Bitcoin and Ethereum will still be there.
Bittrex hasn’t offered a reason for the removal, other than a hint in the blog post. It states, “Bittrex is proud to be a U.S. Digital Asset Trading Platform. U.S. customers will have access to a more limited number of markets as compared to what Non-U.S. Customers have on the Bittrex International platform. Like other industry participants, we will continue to advocate for laws and regulations that foster innovation.”
That last sentence gives the impression that the removal is due to a lack of approval by regulators, but there isn’t enough information to determine why certain coins would be targeted and not others. The changes only impact US-based customers, not customers in other countries or those that use Bittrex International.