Bitfinex, the consistently high-ranking crypto exchange in terms of daily trading volumes, is all set to remove 87 crypto trading pairs. According to the official announcement, their low liquidity on the exchange is the cause of this delisting move. Effective from 26th March 10:00 UTC, Bitfinex will thus cease trading of 29 BTC, 51 ETH, 3 USDT, 1 EUR, 1 GBP, 1 XRP, and 1 Verge pair.
Bitfinex has been carrying out this crypto liquidity consolidation move since the beginning of March 2020.
Earlier this month, the crypto exchange had announced delisting of 16 BTC and 27 ETH pairs. Apart from that, trading of OmiseGo and 0x against DAI and Verge/Japanese Yen were also discontinued.
With the latest delisting move, Bitfinex will be discontinuing a total of 133 trading pairs from its platform.
What is behind this aggressive delisting?
Bitfinex has been trying to play safe in this highly volatile market. According to their official website, forced liquidation is an outcome of parameters like market volatility and exchange liquidity.
As they cannot control the market volatility, the exchange is trying to improve the exchange liquidity. And this will effectively optimize and streamline the trading experience of users. Currently, Bitfinex supports close to 350 trading pairs.
During the previous delisting, the Bitfinex CTO, Paolo Ardoino, had explained about the 2017 ICO frenzy that witnessed the launch of many tokens. However, over time, many of these projects have failed and their trade volumes reduced significantly. In fact, for some of the tokens delisted on March 6th, the trade volumes were as low as $100 per day.
No trading pair projects
Among the trading pairs scheduled for delisting, projects like SingularityNET (AGI), VeChain (VET), Qtum, Enjin Coin (ENJ), etc are included.
However, according to the Bitfinex blog post, for many projects, the platform will only effect partial removal of the trading pairs. For example, ENJ/ETH trading pair stands removed, but support for ENJ/ USDT trading pair will continue.
Previously, we covered how Bitfinex will seize the account holding the 96 stolen BTC.