Bitfinex cryptocurrency exchange has delisted close to 50 trading pairs from its platform for low liquidity. The exchange described the move as a common measure it takes to consolidate its liquidity and improve the trading experience for its users. Most of the delisted tokens trade against Ethereum and BTC.
In a blog post, the exchange revealed that it will cease supporting the 46 tokens on Friday, March 6. It urged all users with any open order with the trading pairs to cancel it before then. Any open order on Friday will automatically be canceled by the system.
The tokens trading against Ethereum that the exchange will delist include Atonomi, Verge, Fusion, Stasis Euro, Loom Network and Lympo. Most of these tokens are built on the Ethereum network. Tokens trading against BTC include Nucleus Vision, AidCoin, Everipedia, BLOCKv and Hydro Protocol.
Bitfinex will also delist two tokens trading against DAI – OmiseGO and 0x – as well as the Verge/Japanese yen trading pair.
Bitfinex prides itself in having one of the most extensive arrays of trading pairs in the industry, offering over 350 trading pairs. The exchange currently ranks as the 12th largest globally, registering $112 million worth of trading volume in the past 24 hours.
Exchanges delist cryptos for all sorts of reasons, ranging from low liquidity to regulatory uncertainty to personal bias. Two months ago, Coinfloor, the U.K’s oldest crypto exchange delisted Ethereum claiming that it required the exchange to employ dedicated technical support of the crypto. According to Coinfloor, keeping up with all the technical trials of Ethereum as it struggles to move from proof of work to proof of stake is too much for the small exchanges.
Some exchanges delist cryptos for personal reasons, an act that has been widely criticized. In December last year, Poloniex delisted Digibyte after its founder Jared Tate called out TRON founder Justin Sun, who also owns a stake in the exchange.
Regulatory issues have also led some exchanges to delist cryptos from their platforms. In September last year, OKEx Korea delisted dark coins including Monero, Zcash and Dash from its platform. With these cryptos supporting anonymous transactions, they made it impossible for the exchange to adhere to the Financial Action Task Force guidelines.
New to blockchain? Check out CoinGeek’s Blockchain for Beginners section, the ultimate resource guide to learn more about blockchain technology.