Robinhood, the widely used no-commission trading app, has announced that it will stop supporting 3 prominent cryptocurrencies on June 29: Cardano (ADA), Polygon (MATIC), and Solana (SOL).
3 prominent cryptocurrencies no longer offered
Following the identification of a significant number of tokens traded as securities on major exchanges, including Binance and Coinbase, by the U.S. Securities and Exchange Commission (SEC), Robinhood announced on June 9 to end support for at least 3 prominent cryptocurrencies to put. It is a possibility that this number will expand in the future, or that they will offer cryptocurrencies again.
Despite this, Robinhood will still continue to offer its users a range of cryptocurrencies. They will still support Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Dogecoin (DOGE), and Shiba Inu (SHIB).
Growing regulatory scrutiny
This development sheds a sharp light on the growing regulatory scrutiny facing the cryptocurrency industry. The SEC’s classification of countless tokens as securities has sparked a wave of reaction within the crypto world. With regulators looking to protect investor interests and ensure market integrity, platforms like Robinhood have begun to review their offerings.
While Robinhood is saying goodbye to Cardano, Polygon, and Solana for now due to the SEC’s classification of these tokens as securities, the cryptocurrency industry continues to grapple with a complex regulatory landscape. Interestingly enough, as a slot, Cardano was only on the Robinhood platform for a little less than a year before being discontinued.