Robinhood To Remove Polygon, Solana, And Cardano
In the ever-changing cryptocurrency landscape, Robinhood has announced its decision to delist three prominent cryptocurrencies: Cardano (ADA), Solana (SOL), and Polygon (MATIC). For your information, Robinhood is a renowned financial technology firm. As per the company’s disclosure, the removal of these assets is scheduled for June 27, 2023. These cryptocurrencies currently hold 8th, 10th, and 11th positions respectively in terms of market capitalization.
The announcement was made public through a blog post published on June 9, in which Robinhood outlined its decision. The California-based firm emphasized the regular assessment of its crypto offerings as part of its operational policy. The forthcoming removal of ADA, SOL, and MATIC results from this most recent review.
“On June 27th, 2023, at 6:59 PM ET, we will cease support for Cardano (ADA), Polygon (MATIC), and Solana (SOL) based on our latest review.”
The firm further assured its users that the action is specific to the above-mentioned coins. Moreover, they made sure to let the users know that the safety of other cryptocurrencies on Robinhood’s platform remains unaffected.
Cryptocurrencies And The Current Regulatory Landscape
This decision follows closely on the heels of heightened regulatory pressure towards two of the world’s largest crypto exchanges, Binance and Coinbase. In the past months, the main source of this pressure is the U.S. Securities and Exchange Commission (SEC). In the aftermath of SEC lawsuits against both exchanges, Robinhood confirmed that it was conducting an active review of its cryptocurrency listings. In a discussion with Bloomberg, Robinhood’s Chief Legal Compliance and Corporate Affairs Officer, Dan Gallagher, expressed the company’s commitment to appropriate response measures.
Robinhood clients who possess ADA, MATIC, or SOL have been advised to sell or transfer their holdings before the delisting deadline. If they fail to do so, the company will sell the assets at the prevailing market rate. Nevertheless, Robinhood will transfer the funds back as “buying power” in the accounts of the holders.
“After the deadline, any ADA, MATIC, and SOL still in your Robinhood Crypto account will be sold for market value and the proceeds will be credited to your Robinhood buying power.”
This development is a testament to the dynamic nature of the crypto industry. Not only that, but it also emphasizes how much the regulatory landscape is changing around crypto. It underscores the necessity for firms operating in the crypto space to maintain a flexible approach to their offerings. This is especially true in the face of evolving regulatory scrutiny. It also serves as a reminder to crypto users to stay vigilant and informed about the changing policies of their platforms as well as the regions they reside in.