Robinhood withdraws from the crypto scene? ADA, MATIC and SOL abandoned

This time, it’s the Robinhood trading platform that has decided to distance itself by delisting the crypto-currencies Cardano (ADA), Polygon (MATIC) and Solana (SOL).

These three tokens have been classified as financial securities by the US Securities and Exchange Commission (SEC), which may also take action against Robinhood for allowing them to be traded.

This decision to delist these controversial cryptocurrencies could be seen as an attempt by Robinhood to escape retaliation from US regulators who are cracking down on the crypto industry.

However, this announcement has had no significant impact on the prices of these cryptocurrencies in question.

Robinhood said in a statement:

“We regularly review the cryptocurrencies we offer on our platform. Based on our latest review, we have decided to end support for Cardano (ADA), Polygon (MATIC) and Solana (SOL) as of June 27, 2023 at 6:59pm ET. All other cryptocurrencies remain available and your crypto assets are safe on Robinhood.”

While the SEC has already targeted major exchanges such as Binance, Coinbase and Kraken, it is highly likely that it will also consider taking legal action against other crypto-trading platforms such as Robinhood and Crypto.com which, for now, appear to be spared.

It’s also important to note that Cardano (ADA), Polygon (MATIC) and Solana (SOL) aren’t the only crypto-currencies to be considered financial securities by the SEC. Other cryptocurrencies, such as Algorand (ALGO), Binance Coin (BNB), Binance USD (BUSD), COTI, Chiliz (CHZ), and many others are also mentioned in the complaints filed against Binance and Coinbase.

In an increasingly stringent regulatory landscape, other cryptocurrency exchange platforms may have to delist certain cryptocurrencies from their offerings in order to protect themselves from potential prosecution by US exchange regulators.