Cardano Founder Addresses Liquidity Concerns Over eToro Delisting
Panic had washed over the Cardano community after news broke that midsize exchange eToro would be delisting the token, alongside Tron. The announcement came as a surprise and users milled onto social media to try to get explanations after receiving the email alerts. eToro had not given much of an explanation besides regulatory concerns which did not do much to quell the panic.
Many had worried that the delisting was a result of low liquidity. Given this, there had been the need for some clarification. Cardano founder Charles Hoskinson took to Twitter to address these concerns, assuring investors that liquidity had nothing to do with the delisting and soothing nerves.
Hoskinson started out by explaining that he actually had no idea about the delisting because IOG, the developer arm which is mostly involved with, did not handle listings. In the 13-minute video posted to Twitter, he clarified that there were actually no liquidity problems with Cardano, which was not a factor in the delisting.
Turning to the regulatory concerns, the Cardano founder addressed the current global regulatory climate around crypto and pointed out that the consequences of this were “a systemic lack of clarity. Since there are no global regulatory standards, then usually, it is up to countries, states, and even organizations on how they handle matters concerning cryptocurrencies.
Japan, for one, possesses some of the strictest cryptocurrency laws and regulations when it comes to crypto. However, ADA had been successfully trading in the region for months now without a problem. Also as more exchanges in the region had picked up the digital asset, liquidity had gone up. There is also adequate liquidity in the U.S., the founder says, which points to it not being a problem.