There have been a few posts here today highlighting the fact Litecoin is being delisted by 5 South Korean exchanges over it’s privacy feature. Both times those posts have tried to infer Litecoin is at risk of broader delisting. I find this a little misleading and wanted to make a more balanced post that gives you a few more facts.
Firstly people need to understand exchanges in South Korea are under tremendous pressure due to the Luna fiasco. Infact they were forced by regulators to set up a delisting authority. Litecoin is the first victim, but to suggest other coins are somehow immune from scrutiny is very misleading. South Korean exchanges have already delisted Zcash and Monero. Due to the enormous pressure they are under more could be on the chopping block and not necessarily so called privacy coins.
Secondly and most importantly, developers were very aware that Litecoins privacy feature may make it fall foul of regulations. That’s why they specifically designed it’s privacy feature, so that exchanges could “opt out”. This is a critical point people don’t understand and that’s why it is NOT at risk of being delisted on major exchanges. The coins founder went to excrutating lengths to work with major exchanges to make litecoin compliant.
We all value privacy and I believe litecoins approach is balanced.