Cryptocurrency exchange Coinbase is reportedly dropping support for Zcash in the United Kingdom.
News portal CoinDesk reported that the exchange’s customers revealed that the company was sending letters to people that they need to convert their Zcash holding, or remove them to an external wallet, by Aug. 26. Interestingly, the exchange provided no reason or explanation behind its decision to withdraw support for the cryptocurrency.
Electric Coin Company, developer of zcash said, “Those affected by @coinbase UK issues: this is limited to Coinbase UK only. UK residents can still buy/sell Zcash through @cex_io. No other exchanges in the UK affected. To pre-empt speculation, we confirm that Zcash is 100% compatible with UK regulations & KYC/AML requirements.”
Those affected by @coinbase UK issues: this is limited to Coinbase UK only. UK residents can still buy/sell Zcash through @cex_io. No other exchanges in the UK affected. To pre-empt speculation, we confirm that Zcash is 100% compatible with UK regulations & KYC/AML requirements.
— Electric Coin Company (@ElectricCoinCo) August 9, 2019
This move comes right after the Financial Conduct Authority’s (FCA) statement on cryptocurrencies last month. At the time, the United Kingdom regulatory body had said, that the Final Guidance would help firms understand if their cryptocurrency activities would be regulated by the FCA.
Christopher Woolard, executive director of Strategy and Competition at the FCA, said, “This is a small, complex and evolving market covering a broad range of activities. Today’s guidance will help clarify which cryptoasset activities fall inside our regulatory perimeter.”
It had added, “Traders should be cautious when investing in such cryptoassets and should ensure they understand and can bear the risks involved with assets that have no intrinsic value.”
However, last month, the regulatory body mentioned that it was looking for experts in the cryptocurrency field.
The official website had described the role as one that will involve, “considerable amounts of liaison and stakeholder management with internal and external patterns on the topic of crypto assets, financial and economic crime linked themes and the role of various processes and areas in regulating this activity.”
The post said that the candidate will learn a great deal of opportunity to learn from and understand intelligence processes and work, and influence the way we support the breadth and depth of the FCA remit, including the new area of Crypto asset regulation.
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