Amid a changing regulatory landscape, digital banking service Revolut has announced its decision to stop supporting ADA tokens from Cardano, Polygon’s MATIC, and Solana’s SOL on its US platform.
Revolut, the digital banking service, has announced that it has removed Cardano’s ADA tokens, Polygon’s MATIC, and Solana’s SOL from its US platform due to regulatory changes around cryptocurrency in the US.
The move comes on the heels of Revolut’s US crypto-services provider Bakkt’s decision to remove these tokens as well.
Revolut has informed customers that it will no longer be able to facilitate buy and sell orders for these tokens in response to this regulatory shift. The changes took effect immediately and will end with a complete cessation of sentinel support for these tokens by September 18th.
However, Revolut has made it clear that the tokens will still be listed on other markets, where they are still available. Bakkt justified the delisting decision as a preemptive measure so that there would be more clarity on how to offer a broader range of currencies in a compatible manner.
The same tokens have also seen their support stopped by Robinhood, following lawsuits filed by the US Securities and Exchange Commission (SEC) against Binance and Coinbase. Robinhood’s decision was prompted by the regulatory uncertainty surrounding these tokens, and they officially ended support on June 27.
The SEC argues that ADA, MATIC, and SOL are part of a group of symbols that fit the definition of a security. The agency refers to the marketed burn of SOL, noting that it may have resulted in investors expecting to profit from their investment. Similar concerns have been raised about Polygon’s marketing strategy, suggesting supply will decrease over time.
In addition, eToro has also removed support for MATIC, along with Dash, Algorand, and Decentraland — three other tokens that the SEC identified in its lawsuits. The end of support for these codes will be effective from July 12th.
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The company expressed its commitment to working collaboratively with global regulators to shape the future of the crypto industry in a recent tweet.
Coinbase has provided a comprehensive response to the SEC’s allegations, asserting that the SEC cannot unilaterally assert control as it attempts to regulate digital assets. The company has suggested that it is the role of Congress to make regulatory decisions related to the industry.