Paxful Delists Ethereum Amid PoS Switch, Lack of Decentralization, and Scams
• Paxful is delisting Ethereum from its P2P cryptocurrency trading platform.
• The move was prompted by Ethereum’s move to proof-of-stake (PoS), a lack of decentralization, and the ever-growing dissemination of scams in its ecosystem.
• The delisting will take effect by 12:00 UTC, December 22.
Paxful, a peer-to-peer (P2P) cryptocurrency trading platform, has announced that it will be delisting Ethereum from its marketplace. The move was confirmed by Paxful CEO Ray Youssef in a tweet on Wednesday, who cited three main reasons for the delisting.
The first of these reasons is Ethereum’s switch to the proof-of-stake (PoS) consensus mechanism, which Youssef believes has effectively rendered the cryptocurrency a “digital form of fiat”. He also noted that the decentralization of the project is in question, as a small group of insiders are able to exert an inordinate amount of influence on its development. Finally, Youssef pointed out that Ethereum’s ecosystem is rife with scams, which have cost users billions of dollars and have “stolen valuable momentum away from Bitcoin”.
Youssef has taken a stand against such practices, stressing that now more than ever it is the responsibility of P2P exchanges to protect their users. He noted, however, that Paxful will continue to offer stablecoins on its platform, as they “have real use cases”.
The delisting of Ethereum will take effect by 12:00 UTC, on December 22. Until then, users are urged to move their Ethereum holdings off the platform as soon as possible.
