Binance’s decision to include Zcash on a list of tokens up for vote has sparked dismay among industry heavyweights, with several prominent figures expressing their disapproval over the potential removal of the popular cryptocurrency.
Binance’s Potential Zcash Delisting Sparks Industry Backlash
Cryptocurrency exchange Binance has been criticized for including privacy token ‘Zcash (ZEC)’ on a list of tokens up for vote to be delisted from its platform. The move has sparked dismay among industry heavyweights, with several prominent figures expressing their disapproval.
Binance is a global cryptocurrency exchange that allows users to buy, sell, and trade 'cryptocurrencies'.
Founded in 2017 by Changpeng Zhao, Binance has quickly become one of the largest and most popular exchanges in the world.
With over 500 trading pairs and a user base of millions, Binance offers a wide range of features including spot trading, futures trading, and staking.
The exchange is known for its high liquidity, fast transaction speeds, and low fees.
The Controversy Surrounding Delisting
Binance recently opened a vote for users to choose which token would be delisted from the exchange. ‘Zcash, which boasts a $500 million market cap’ was one of the tokens included on the ballot alongside FTX’s FTT token and data security platform JASMY. The inclusion of ZEC has raised concerns among industry leaders, who argue that it sets a worrying precedent for the treatment of privacy tokens.
Industry Heavyweights Weigh In
Several prominent figures in the cryptocurrency space have spoken out against Binance’s decision to include ‘Zcash on the list’ . Zooko Wilcox, the founder of Zcash, took to Twitter to express his dismay, tagging Binance CEO Richard Teng and asking what kind of world he was creating by considering delisting a privacy token. Digital Currency Group founder Barry Silbert also shared several posts lamenting the decision, highlighting the importance of preserving the freedom to use cryptocurrencies for legitimate purposes.
Zooko Wilcox is a renowned American cryptographer, computer scientist, and entrepreneur.
He is best known for his work on decentralized systems, including the development of Zcash, a cryptocurrency that prioritizes anonymity and fungibility.
Wilcox has also made significant contributions to the field of cryptography, particularly in the areas of zero-knowledge proofs and secure multi-party computation.
With over two decades of experience in the industry, he continues to advocate for decentralized technologies and their potential to promote social and economic freedom.
Regulatory Scrutiny
The move has also sparked concerns about regulatory scrutiny, with some arguing that it reflects the growing tension between governments and the cryptocurrency industry. In 2022, a leaked EU document suggested that ‘privacy tokens could be banned across the region’ , while the U.S. had previously sanctioned Tornado Cash due to concerns over its use in illicit activities. However, these sanctions were later removed.
Tornado Cash is a decentralized finance (DeFi) protocol that allows users to transfer and mix cryptocurrency assets anonymously.
It uses zero-knowledge proofs to ensure the confidentiality of transactions.
Tornado Cash was launched in 2021 and has gained popularity for its ability to provide financial privacy in the crypto space.
The protocol operates on the Ethereum blockchain and supports various cryptocurrencies, including Ether (ETH) and ERC-20 tokens.
Market Reaction
The news of Zcash‘s potential delisting has sent shockwaves through the market, with the token currently trading at ‘$31.26’ after a 3.1% drop over the past 24 hours. As the situation continues to unfold, it remains to be seen how Binance will proceed and what implications this move may have for the cryptocurrency industry as a whole.
A Growing Concern
The controversy surrounding Zcash’s potential delisting highlights a growing concern within the industry about the treatment of privacy tokens. As governments continue to grapple with the regulatory implications of cryptocurrencies, it is clear that the fate of these tokens will have far-reaching consequences for the future of digital currency.
