Why Zcash Suddenly Became the Crypto Market’s Black Sheep
Convert all your Zcash by the 26th – or else
The cryptocurrency exchange reportedly asked its customers in the UK to convert their Zcash holdings into any other crypto or move it to another platform by August 26th. Users who fail to take the prescribed steps will see the Zcash forcibly converted to sterling pounds after the deadline has elapsed.
The move will only affect users of Coinbase UK. Other exchanges in the country remained unaffected, though the delisting has understandably raised questions about Zcash’s regulatory status.
Coinbase UK has yet to explain the move, prompting speculation that it is part of the cryptocurrency exchange’s efforts to access Faster Payments Scheme (FPS), a UK payments system designed to reduce transfer times.
(i.e. it wasn’t a regulatory requirement, but a banking one)
— Alistair Milne (@alistairmilne) August 12, 2019
Why did Coinbase suspend Faster Payments Scheme?
At the time, Coinbase UK gave no indication that it was planning to delist any coin.
Speaking exclusively to CCN, Greenspan also cast doubt on Coinbase UK being forced to delist Zcash in order to work with banks and other financial institutions:
“Hard to imagine that any particular financial institution will specifically hinder business operations with Coinbase solely due to their dealings with Zcash in particular, especially given their overall business operations that have exposure to all types of crypto assets.”