KuCoin one of the Singapore-based cryptocurrency exchange has broadcasted that they are removing 10 cryptocurrency tokens below their Special Treatment Rules outline that safeguards that the demonstrations listed on the policy meet a strict set of working standards.
The new policy decision to remove such tokens comes among a persevering bear market that is foremost numerous lesser cryptos to be illiquid, that can be foremost to a swarm of difficulties such as many growing vulnerability to fake interchange movement such as pump and junkyard schemes.
The cryptocurrency safeties industry that has persevered through 2018 has haggard a major quantity of funding far from every cryptos, however particularly smaller ones that area unit less renowned and riskier. The exchange proclaimed that the 10 cryptocurrencies that area unit being delisted are: Jibrel Network (JNT), WePower (WPR), Modum (MOD), EthLend (LEND), STK (STK), Asch (XAS), Bread (BRD), BitClave (CAT), Bitcoin Gold (BTG) and August F. Mobius (MOBI).
The exchange cited multiple factors that contributed to their call to delist these tokens, together with not meeting the exchange’s necessities concerning token liquidity, roadmap adherence, network security, commercialism conduct, and financial condition necessities. The exchange initial designates tokens as “Special Treatment,” that warns the comes and their investors that they’re in danger of being delisted. If the comes fail to confront and solve the problems cited by the exchange, they’ll be delisted. Although there area unit multiple factors that contribute to a token being selected as Special Treatment, liquidity is that the primary concern presently, as multiple tokens face dwindling commercialism activity because the securities industry continues to persist.
Many investors and analysts alike anticipated that the 2018 crypto crash would lead to a “market purge” that might lead several of the nearly one,700 cryptocurrencies to disappear. the foremost probable manner that this can happen is for the tokens to be delisted by exchanges thanks to their lack of liquidity.
Following KuCoin’s call to delist the said tokens, each their costs and their commercialism volumes plummeted. Jibrel Network (JNT) is presently commercialism at $0.046, down considerably from its weekly highs of $0.065. When being delisted from KuCoin, JNT’s daily commercialism volume born from over $2 million to lows of $60,000. BitClave (CAT) was additionally unbelievably full of the delisting, decreasing from weekly highs of $0.0024 to lows of $0.000527. CAT’s commercialism volume is presently close to zero.
Because the crypto securities industry continues to endure, it’s extremely doubtless that a lot of a lot of tokens can see their commercialism volume disappear as they’re delisted from nearly all major cryptocurrency exchanges.
KuCoin explained the liquidity issue on their website stating that:
“The Exchange may delist the ST Project if the Project fails to meet the basic liquidity requirements by the end of the observation period. Correspondingly, if the basic liquidity rises and exceeds the requirement threshold by the end of the observation period, the ST ticker symbol will be removed… The Exchange may, during the observation period, decide to delist the ST Project if the Exchange believes the ST Project fails to take necessary actions to remedy the Negative Situation.”