September 20, 2020

Poloniex will separate from Circle and become inaccessible to users from the USA

The Poloniex cryptocurrency exchange announced a reorganization of the company structure and a number of other major changes.

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First of all, Poloniex will separate from the parent company Circle. As a result, a new company is formed - Polo Digital Assets, Ltd, which will be supported by a certain “large investment group”.

“The separation as a separate company will allow us to focus on the needs of global crypto traders by introducing new features, assets and services”Says the Poloniex blog.

From October 21 to the end of the year, the spot commissionExchange trading will be 0%. In the future, Poloniex plans to present a “highly competitive” offer for traders. The company also intends to spend more than $ 100 million on the implementation of a long-term plan for the development and expansion of the trading platform.

“However, to remain competitive onglobal market, we will not be able to include American users in our new structure. Therefore, Circle will stop serving users from the United States. Starting today, American users will no longer be able to create accounts on Poloniex, and from November 1, they will not be able to carry out trading transactions on the exchange. They will still have the opportunity to withdraw assets by December 15, 2019. "

In a separate tweet, Poloniex reported that Circlewill continue to provide a “wide range of financial products”, including USDC stablecoin, crypto-brokerage and trading services, online fundraising services, as well as support the SeedInvest platform.

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Circle Bitcoin startup acquired Poloniex atFebruary 2018, presumably for $ 400 million. Then it was planned that the exchange would turn into a multifunctional marketplace that will place tokens representing all kinds of values: physical goods, fundraising and securities, real estate, art objects, music, literature, rental services and rental services , lending, futures, etc.

In the rating of trading platforms from Bitwise, Poloniex exchange is now in 7th place with a real daily turnover of $ 9 million.

Recall that in August and October low-liquid assets and trading pairs were removed from the Poloniex listing.