In a surprising turn of events, cryptocurrency broker eToro has announced to crypto investors that it will delist Cardano’s ADA token and the TRON Foundation’s TRX token for US customers from December 26, 2021.
The exchange explained that regulatory concerns were the reason for its decision to delist the two major cryptocurrencies. As of boxing day, US-based users will no longer be able to purchase ADA or TRX and staking for those assets will come to a stop on December 31.
“The regulatory landscape for crypto is evolving rapidly,” said a spokesperson from eToro. “As a result, we will be limiting the ability for US users to open new positions in, or earn staking rewards for, ADA and TRX.”
Cardano, which was founded in 2015 by Ethereum co-founder Charles Hoskinson, has surged this year but has experienced struggles in the last few months. The ADA coin surged from $0.18 at the start of 2021 to an all-time high of $3.10 in early September. However, the coin has since collapsed to $1.70. It is still the sixth-largest cryptocurrency by market capitalization, according to the data provider CoinMarketCap.
“Above all, we are disappointed to take this step,” an eToro representative stated. “eToro will continue to be active supporters of the crypto ecosystem.”
Etoro’s news came as a surprise to the crypto community, particularly after Luxembourg exchange BitStamp announced it would list cardano last week. Hoskinson downplayed concerns.
“We didn’t even get delisted,” the co-founder tweeted, in response to a comment about the BitStamp listing. “ADA is still on etoro and non-US customers can freely trade.”
eToro also announced it will delist TRX, the native token for Chinese-American entrepreneur Justin Sun’s TRON Foundation. TRON’s price has risen from $0.03 to $0.10 this year, and it is currently the 30th-largest cryptocurrency by market value on CoinMarketCap.
