Recently, Circle’s exchange Poloniex announced that they are about to go offline with several digital assets. In addition, the exchange also confirmed that by the end of the year, they will no longer provide margin trading for US customers.
Circle has explained the reasons for canceling margin trading in the US and lending products, ensuring that each country in the exchange meets regulatory requirements.At the same time, Poloniex promises that all borrowed products will continue to be used until the specific date of the suspension of the margin trading.
Margin trading refers to the use of borrowed funds by a user to trade a digital asset. At the same time as the margin trading, the trader can open the position after borrowing the funds. The assets borrowed from this are the collateral of the broker’s lending funds. According to the operation at the time of opening the position, the trader can make a profit or lose money through the final settlement process.
In addition, Circle also said that Poloniex will launch three digital assets on October 10, namely Synereo (AMP), Expanse (EXP) and Gnosis (GNO). Poloniex will suspend trading and withdrawal of the above assets on October 9.
Circle promises that they may delay the downline date once the user’s wallet has failed. In addition, they will also contact and provide assistance to users who are unable to properly withdraw assets.
The Expanse team seems to have been notified by announcement that its token is about to go offline. The team said on Twitter:
We hope that Poloniex will make a reasonable explanation for the sudden release of EXP. EXP has been on Polonyx for almost 3 years and has been continuously improving and developing with the community. Your team didn’t even politely send us an email or give any formal notice. This is too low level…
For Poloniex canceled margin trading, Twitter users are generally not very optimistic. Twitter user RyanICNN said:
No margin trading means I am looking for a new exchange. This is too disappointing.Some people also said:Seriously, the exchange has no meaning in the future. Margin trading and P2P lending are what Poloniex is all about.
