{"id":11489,"date":"2021-08-30T12:54:26","date_gmt":"2021-08-30T12:54:26","guid":{"rendered":"https:\/\/www.buyucoin.com\/crypto-labs\/bch-defi-project-detoken-to-close-its-doors-over-regulatory-climate-toward-crypto-derivatives\/"},"modified":"2021-08-30T12:54:26","modified_gmt":"2021-08-30T12:54:26","slug":"bch-defi-project-detoken-to-close-its-doors-over-regulatory-climate-toward-crypto-derivatives","status":"publish","type":"post","link":"https:\/\/www.buyucoin.com\/crypto-labs\/bch-defi-project-detoken-to-close-its-doors-over-regulatory-climate-toward-crypto-derivatives\/","title":{"rendered":"BCH Defi Project Detoken to Close Its Doors Over Regulatory Climate Toward Crypto Derivatives"},"content":{"rendered":"

On August 28, the Bitcoin Cash-based decentralized finance (defi) platform Detoken announced the project is closing its doors on September 4, 2021. The project\u2019s founder, Semyon Germanovich, explained that the main reason for shutting the defi project down is because of the \u201cchanging regulatory outlook on cryptocurrency derivatives.\u201d<\/strong><\/p>\n

Defi Project Detoken to Shut Down Operations on September 4<\/h2>\n

In December 2020, Bitcoin.com News reported<\/a> on the defi platform called Detoken, a project that allowed users to hedge or long their bitcoin cash (BCH<\/a>) in a noncustodial fashion. At the same time, the firm at General Protocols launched the Anyhedge technology and the protocol was leveraged by the Detoken platform. Semyon Germanovich explained on Saturday that the Detoken platform was sunsetting the project over regulatory concerns.<\/p>\n

\u201cI\u2019m saddened to announce that Detoken will be closing its doors on the 4th September 2021,\u201d Germanovich said. \u201cThere are several factors that influenced our decision to close the Detoken platform. The main reason is that it\u2019s become increasingly apparent that Detoken\u2019s business model cannot continue to work given the changing regulatory outlook on cryptocurrency derivatives.\u201d Detoken\u2019s founder added:<\/p>\n

I\u2019ve always been a firm believer in financial freedom and privacy, but in order to continue operating Detoken in its current form we\u2019d be forced to introduce know your customer identity checks sooner or later. Unfortunately, the sad reality is that all players in the industry will have to make the same hard decisions about changing their business model or introducing these difficult and friction-inducing checks.<\/p>\n

<\/p>\n

Bitcoin Cash Proponents Look to Smart Bitcoin Cash Chain<\/h2>\n

The Bitcoin Cash community is now anticipating<\/a> the benefits of the Smart Bitcoin Cash chain(Smartbch). BCH<\/a> proponents believe Smartbch could unlock massive potential between the Ethereum (ETH<\/a>)and Bitcoin Cash (BCH<\/a>) networks. As time has progressed, the exchange Coinflex revealed that \u201cCoinflex BCH<\/a> (mainnet) to BCH<\/a> (SEP20) bridge has been live for an entire week now \u2013 with zero issues,\u201d in a blog post announcement<\/a>. Coinflex added:<\/p>\n

We are happy to announce that locking on the BCH<\/a> chain, releasing BCH<\/a> (SEP20, the Smartbch format), and going from Smartbch to BCH<\/a> have all been working smoothly.<\/p>\n

Bitcoin cash (BCH<\/a>) markets have been up over 5% during the last 24 hours and BCH<\/a> currently holds the 13th largest market capitalization out of 10,000+ crypto assets. BCH<\/a> is up 24.4% during the last month and year-to-date, bitcoin cash has gained 149%. At the time of writing, bitcoin cash (BCH<\/a>) has an overall market capitalization of around $12.5 billion.<\/p>\n

Bitcoin Cash Fans Bid Detoken Farewell<\/h2>\n

On Reddit, subscribers on the subreddit forum r\/btc were sad to see Detoken close its doors in a Reddit post<\/a> added on Saturday. \u201cThis is the mail I just received from detoken. Despite this bad news, I still hope, new projects [will] use General Protocols,\u201d one user wrote on the forum.<\/p>\n

The developer of the General Protocols project, who goes by the name \u201cEmergent Reasons,\u201d replied to the comment and said: \u201cThanks for the good wishes. We continue to work hard for BCH<\/a>, p2p electronic cash.\u201d He also left a link to a blog post called: \u201cA peer-to-peer cash strategy for General Protocols\u201d<\/a> which can be read via the read.cash blogging platform.<\/p>\n

What do you think about Detoken having to close its doors over regulatory concerns toward crypto derivatives? Let us know what you think about this subject in the comments section below.<\/strong><\/em><\/p>\n

Bitcoin News
\nDefi, Anyhedge, Anyhedge Protocol, BCH Network, bitcoin cash, bitcoin cash BCH, Coinflex, Coinflex Smartbch Bridge, decentralized finance, DeFi, Defi Project, Defi Projects, Deravitives, Detoken, Emergent Reasons, Futures, General Protocols, hedge, Hedging, Noncustodial, Open Source, r\/btc, Semyon Germanovich, Smart Bitcoin Cash Chain, Smartbch, Software, technology<\/p>\n","protected":false},"excerpt":{"rendered":"

On August 28, the Bitcoin Cash-based decentralized finance (defi) platform Detoken announced the project is closing its doors on September 4, 2021. The project\u2019s founder, Semyon Germanovich, explained that the main reason for shutting the defi project down is because of the \u201cchanging regulatory outlook on cryptocurrency derivatives.\u201d Defi Project Detoken to Shut Down Operations…<\/p>\n","protected":false},"author":0,"featured_media":11490,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53,3],"tags":[],"class_list":["post-11489","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain-news","category-coin-news"],"_links":{"self":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/11489"}],"collection":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/comments?post=11489"}],"version-history":[{"count":0,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/11489\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media\/11490"}],"wp:attachment":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media?parent=11489"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/categories?post=11489"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/tags?post=11489"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}