news.bitcoin.com
Crypto firm Gate.io has revealed plans to discontinue perpetual contracts for five well-known privacy coins.
Gate.io to Delist Privacy Coin Perpetuals
Starting Dec. 25, 2024, trading for monero (XMR), dash (DASH), zcash (ZEC), horizen (ZEN), and verge (XVG) will switch to “reduce-only” mode, allowing traders to close existing positions but not open new ones. By 08:00 UTC on Dec. 26, all trading for these contracts will come to a complete stop.
As part of the phase-out, all open orders linked to these contracts will be canceled, and remaining positions will be settled automatically. The exchange noted that settlement prices will be based on the average index price from the 30 minutes prior to delisting. Should market volatility be unusually high, Gate.io will extend this timeframe to ensure fairness and avoid price manipulation.
The platform stated that it is urging users to review their strategies and close positions ahead of the deadline to ensure a smooth transition. Gate.io explained that these steps are meant to protect traders and facilitate an orderly adjustment.
Privacy coins have increasingly come under the regulatory spotlight due to their advanced anonymity features. Although Gate.io didn’t cite regulatory concerns as the reason for its decision, similar moves by other platforms suggest compliance challenges may be a contributing factor. The total market cap for privacy coins currently stands at $6.47 billion, reflecting a 10.4% dip over the past 24 hours.