Bye trading platforms? A part of the Monero community wants all holders to withdraw their XMR from centralized marketplaces. They accuse the latter of not having the necessary reserves to honour their sales. Focus on this protest movement
The Monero community calls for the withdrawal of XMRs from exchange platforms
The reason the Monero community chose today as the date for a mass XMR withdrawal is because it’s the eighth anniversary of the anonymous cryptocurrency’s launch. A few days ago, Seth Simmons, a Monero enthusiast and strong privacy advocate, explained that he suspected that exchange platforms may not own all the XMR they were selling:
Looking more and more like exchanges are paper trading Monero and lying about how much they have to customers.
Opt out, get those keys off exchanges and actually own your $XMR:https://t.co/L9dCWRk4Na https://t.co/wqyfh84SEN
– Seth For Privacy (@sethforprivacy) April 14, 2022
According to him, and several other members of the Monero community, centralized exchange platforms could indeed sell XMRs they don’t own, relying on the fact that buyers will leave their cryptocurrencies in their account, without withdrawing them. This would of course be made possible by the anonymity of the Monero network, which unlike Bitcoin, for example, does not allow all transactions to be tracked.
According to Monero enthusiasts, massively withdrawing its XMRs from exchange platforms would thus force them to indirectly admit this state of affairs, and thus to buy some, in order to meet investors’ demands.
Will the “Monerun” be followed
The idea was started on Reddit by user bawdyanarchist. He notes that many exchange platforms have already shown their hostility towards XMR, by delisting the cryptocurrency, or simply banning withdrawals. So he wants to force their hand:
The obfuscated Monero ledger has allowed some exchanges to misrepresent the state of their reserves, and sell XMR that they don’t actually have. This is in the knowledge that far too many of us will never withdraw, and no one can see the on-chain evidence of their misdeeds. “
Given the nature of the XMR, it will of course not be possible to see on the blockchain to what extent the movement will be followed today. Possible suspensions of withdrawals on exchange platforms could however give an indication if they take place, and confirm what the community is saying.
