Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your experience. Save up to 40% More details

What Happened to Privacy Coins?

CryptocurrencyMar 04, 2021 03:00PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
What Happened to Privacy Coins?

  • Privacy coins are special cryptocurrencies that guarantee total anonymity during blockchain transactions.
  • Cryptocurrencies like Monero, Dash, Zcash, Verge and Bitcoin private are among the leading assets in this class.
  • Privacy coins are currently facing delistings around the world as a result of regulatory pressure on crypto exchanges.

Privacy coins are coins that let users gain total anonymity during blockchain transactions. The origins and the parties in the transactions are completely untraceable.

Around the world, there are 63 privacy coins being traded today, but the future does not look bright for private tokens as they currently face delistings from top cryptocurrency exchanges around the world. The Shapeshift exchange recently announced that it has delisted Monero, Zcash, and Dash while Bithumb also delisted Monero.

The rise of regulatory pressure from authorities is the leading cause of the travails faced by privacy coins.

Privacy Coins: The New Digital Pariah

Delisting of privacy coins has become a worldwide trend with several cryptocurrency exchanges removing these coins from their platforms. When Shapeshift, a Colorado-based cryptocurrency exchange, delisted Zcash, Monero, and Dash from its platform, Chief Legal Officer Veronica McGregor explained in an interview with Coindesk, “We’ve taken down the privacy coins because of regulatory concerns.

Following Shapeshift’s lead, the Netherlands-based cryptocurrency exchange LiteBit announced that it will be delisting the privacy coin Firo. In another similar development, Bittrex announced to its users that it was delisting the privacy coins Monero, Dash, and Zcash.

The exchange provided users a 30-day window to withdraw delisted tokens.

In response, Dash argued that it is not a privacy coin and its “privacy functionality is no greater than Bitcoin’s, making the label of privacy coin a misnomer for Dash.” Dash was formerly called Darkcoin, and its selling point was the total anonymity it offered users.

The delisting by Bittrex is another big blow for privacy coins that once held great promise for the future of cryptocurrencies.

On the Flipside

  • Despite the mass delisting of privacy coins on crypto exchanges, some of them have continued to perform well in the market.
  • Cardano continues its steady rise amid falling crypto prices, enjoying a 15% increase over the last seven days.
  • And privacy coin Monero also continues to climb irrespective of its delisting, up 3.49% over the last 24 hours now means it trades at $214.44.

Reasons for Delistings These privacy features are in conflict with pre-existing anti-money-laundering laws and “know your client” (KYC) regulations.

Money laundering is a major challenge around the world, and regulators clearly believe that bans and the delisting of privacy coins are their best weapons to combat this scourge.

In Japan, authorities argue the delisting of privacy coins is a move to prevent a repeat of the 2018 Coincheck hack, but several analysts argue that privacy coins are unfairly being blamed for the hack. In South Korea, a financial action task force recently imposed new regulations that included delisting of privacy coins.

However, all hope is not lost for privacy coins as Perkins Coie, a US-based law firm, released a report on how privacy coins can become compliant with anti-money laundering regulations.

Continue reading on DailyCoin

What Happened to Privacy Coins?

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email