Trading platform eToro will be limiting crypto assets Cardano (ADA) and TRON (TRX) for U.S. customers starting in December due to “business-related considerations in the evolving regulatory environment,” according to a statement on its website.
- The statement, published Tuesday, said that users in the U.S. will “no longer be able to open new positions in, or receive staking rewards for” ADA and TRX.
- Restrictions on opening new positions in ADA and TRX will take effect on Dec. 26, while staking for these assets will end on Dec. 31, the statement said.
- The final staking rewards payout for both assets will take place on Jan. 15, 2022.
- According to eToro’s announcement, users will still be able to “securely hold existing positions” for the two cryptocurrencies as the limitations only apply to new positions.
- Users can sell their ADA or TRX in exchange for U.S. dollars anytime, and eToro is working on a way to make it possible for users to move these two assets to their eToro crypto wallets, the statement said.
- Since the announcement was published, at one point, ADA prices dropped by more than 6%. At press time, TRX was down 2.4%.
- Taking to Twitter on Tuesday, Cardano founder Charles Hoskinson said eToro’s decision was due to a “systemic lack of clarity” in global crypto regulations.