The platform users will have until August 26th to convert their assets to other cryptocurrencies or extract them from the platform. Otherwise, the funds will be automatically exchanged for pounds sterling.
Coinbase, the reputed exchange platform based in the US, told its customers that it will stop offering support for operations with ZCash.
According to information published by several users on Reddit and Twitter, Coinbase staff sent emails to users residing in the country, in which they recommended withdrawing the funds or exchanging them for other cryptocurrencies before August 26th, since after that date, the cryptocurrency will no longer be listed on the platform.
Exchange staff also informed that all those who do not withdraw or exchange their funds will receive the equivalent in pounds sterling in their accounts. For now, managers have not informed the reasons why ZCash is being removed from the list of currencies authorized for commercial operations.
While the news generates some fear among investors and users at a local level, this seems to be a measure fully aligned with the stance of regulatory bodies interested in dealing with digital currency operations.
A member of the ZCash programming team informed through his Twitter account that the digital currency is apparently 100% compatible with legal frameworks, so all those who carry out the KYC/AML procedures should not have problems accessing to the cryptocurrency.
Although in a statement released at the end of July, the Financial Conduct Authority of the United Kingdom said that some cryptocurrencies and tokens could fall under its jurisdiction – specifically referring to Security Tokens -, it indicated that crypto assets such as Bitcoin or Ether are not listed under its guidelines .
However, ZCash has important differences compared to other very popular cryptocurrencies since their operations are completely anonymous, with no possibility of tracking them through block explorers or other more sophisticated methods. At the time, the former operator of the NSA and the CIA, Edward Snowden, indicated that this digital currency would be your ideal option for the anonymity you provide when making financial transfers.
Despite the stir that this measure may generate, the members of the ZCash team indicated that although Coinbase no longer supports operations with the digital currency, those interested can still trade ZEC through CEX.io and other exchanges.
It is important to note that only the Coinbase address in the United Kingdom was the one that made the decision to withdraw ZCash from its list of digital currencies, since the cryptocurrency is still available for commercial operations in other countries where the exchange operates.
The digital currency currently registers a price equivalent to USD $57.8 and some analysts suggest that the price could fall even more in the next few hours due to the measures announced by Coinbase.