Crypto change Binance announced it’s ending help for Litecoin (LTC) transactions despatched by way of the latest MimbleWimble (MWEB) upgrade.
Binance warned that any transaction despatched by way of the MWEB perform could be misplaced because the crypto change can’t confirm the sender’s tackle. The crypto change didn’t reply to Cointelegraph’s request for feedback on the time of publishing.
The announcement comes simply days after major South Korean crypto exchanges delisted LTC as a result of newest improve, which makes transaction info confidential. The delisting got here simply weeks after 5 crypto exchanges issued warnings much like Binance. Nonetheless, the delisting didn’t come as a shock, as South Korea is understood for its strict privateness legal guidelines, which prohibit nameless transactions on crypto exchanges.
The MWEB improve on LTC is without doubt one of the vital updates that went dwell earlier this yr, almost two and half years after it was first proposed. The improve added a number of privateness options and made the LTC blockchain extra scalable.
Gate.io, one other common crypto buying and selling platform, additionally ended help for MWEB Litecoin transactions, claiming nameless transactions aren’t supported on the platform.
Associated: Crypto exchange Binance seeks critical licenses in Philippines, CEO says
The choice to finish help for the MWEB perform additionally comes at a time when the main crypto change has been marred in controversies. Binance was just lately accused of facilitating $2.5 billion worth of illicit transactions by Reuters.
Chagpeng Zhao (CZ), the CEO of Binance refuted all such allegations, pointing to the information launched by blockchain analytics agency Chainalysis.
The Reuters article yesterday is a big waste of time and sources. That is the final I will say on it, and the final our staff will work together with the author.
The writer continues to put on it as a badge of honor on Twitter when his fiction items get fact-checked after he publishes.
— CZ Binance (@cz_binance) June 7, 2022
America Securities and Change Fee additionally opened a security violation investigation concerning Binance’s BNB ICO sale in 2017.
The privateness function that was seen as an necessary improve has turned out to be a bane for one of many oldest cryptocurrencies. The MWEB improve comes at a time when regulatory oversight is at its highest and privateness options have develop into the first goal of regulators across the globe.