Poloniex is leaving Circle - Discussion

[crabby]

Poloniex will be spinning out of Circle. I want to know everyone's thoughts. What do you think this means for the market? Where will you go now if you are on Poloniex?

I wrote up an article to discuss some of my thoughts here:
https://blog.shrimpy.io/blog/poloniex-spins-out-from-circle

I'd love to hear what you think!

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[NathanJB]

What I read is that Poloniex is already leaving the US market. I guess some restrictions are already applying to this old exchange that is why they are forced to say good bye to their US customers. They might have failed to earn the nods of the powerful regulators in the country. They are already releasing statements that US citizens are not anymore allowed to create accounts and trade on the site. They are only allowed to withdraw their assets. Otherwise, Poloniex is still operating actively.

[Strongkored]

Got this news via email from Polo.
They find that market outside US is much greater chance, after some time they experience continued decline in trading volume.

The new international operation plans to invest more than $100M into the development and expansion of the Poloniex exchange, and plans to employ more than 100 full-time employees with the majority coming from the existing Poloniex operations. Poloniex expects to be hiring aggressively across all major business and technical functions.

https://blog.circle.com/2019/10/18/poloniex-to-spin-out-of-circle/

With a large fund they are very serious preparing to compete with other large exchanges.

[rijaljun]

Poloniex will be spinning out of Circle. I want to know everyone's thoughts. What do you think this means for the market? Where will you go now if you are on Poloniex?

I wrote up an article to discuss some of my thoughts here:
https://blog.shrimpy.io/blog/poloniex-spins-out-from-circle

I'd love to hear what you think!

It's not a big deal for general but of course a big move for Poloniex. From this we now can see that Poloniex is a truly big company and is serious to develop their business.

Even though the real reasons may not be disclose, we can assume that Circle no longer be able to provide what Poloniex need in order to compete and grow internationally.

I don't see there will be a major effect for the market, but of course it will bring the market to be more competitive.

[biddicoin]

I'm not sure with this decision leaving US market, i have some reasons
1. US market is Big market. even the first crypto trader is on the US
2. Poloniex has no clear strategy to compete with giant exchanges in the world

Being a somewhat trusted exchange in the US market may have been the only advantage they had over international exchanges. With this change in strategy, there’s no clear way for Poloniex to compete.

[Willitivity]

Reading the title, I was a bit worried if poloniex was closing down too. Glad it wasn't what I thought.
Poloniex has been a great exchange, on the low. If they are leaving the US market and banning US traders, I believe they have already planned everything out as regards to where they are going next. It wouldn't take much time to bounce back.
They might as well create a US only exchange just like binance did.

[adroitful_one]

I'm not sure with this decision leaving US market, i have some reasons
1. US market is Big market. even the first crypto trader is on the US
2. Poloniex has no clear strategy to compete with giant exchanges in the world

Being a somewhat trusted exchange in the US market may have been the only advantage they had over international exchanges. With this change in strategy, there’s no clear way for Poloniex to compete.

Yeah, the United States is a big market, but our government is implementing a lot of restrictions on all of these exchanges. They're simply doing it just so they can collect tax money on everyone. That's why we can't hardly use any exchanges without submitting a KYC and passing verification. Plus, I'm sure there's also fees involved to get the license to operate in the United States and they're probably not cheap. Trust me, I don't think they want to just up and leave the US market. They're pretty much being forced out from all of the regulation.

[GreenStox]

poloniex exchange may be considered as such, but this exchange is still active and can still last up to this moment, different from some other exchanges that seem to have begun to show signs of consumer decline.

[NeuroticFish]

Woah. I loved Poloniex before Circle. It was my favorite exchange back then.
Will Poloniex shine again? I don't know. But since the Circle business was the root of his recent problems, maybe, just maybe the split up will be good. I surely hope so.

Maybe it's possible to get back to cypto only without strict KYC restrictions? That could be a big step in the right direction.

[samcrypto]

Poloniex is a good exchange way back the time I've enter into this market but since the competition has increased they feel the effect of that, and the low volume of trades might trigger Poloniex to leave the US market though I don't think this is the only reason for them to do this. We don't know if the restrictions on US are getting tighter, some exchanges are also leaving US not just Poloniex, if you're a US citizen some exchanges are restricted to you for some reason.

[qiwoman2]

Poloniex was one of the first exchanges I used to trade in back in the day, after Cryptsy and some others. It's such a shame that the U.S has made it so complicated for its citizens to trade crypto, yet the WALL ST and Derviatvies Markets remain unregulated and unhindered as ever, to go and cause another economic crisis and collapse for another generation of people around the world. I hope they can still drum up enough customers for their exchange as POLONIEX was primarily a U.S run exchange with most of its customers from there. I remember I was living in Canada at the time I signed up I think if I remember correctly. It seems such a long time ago now though.

[BitHodler]

Poloniex is a good exchange way back the time I've enter into this market but since the competition has increased they feel the effect of that

I remember the days where Poloniex was consistently generating over 100k BTC in altcoin trading volume every single day, especially back when Ethereum was coming up.... it was one heck of a high profile exchange.

I still have screenshots saved from when the ETH/BTC pair alone occasionally peaked over 150k BTC in daily volume on Poloniex. Times have chanced and so did the environment within exchanges have to operate.

From Poloniex the volume shifted to Bittrex, where suddenly Bittrex for a short period of time became the largest exchange based on volume, and now Bittrex is just a mediocre exchange compared to what they were before.

[BitcoinHunt3r]

Poloniex is a good exchange way back the time I've enter into this market but since the competition has increased they feel the effect of that

I remember the days where Poloniex was consistently generating over 100k BTC in altcoin trading volume every single day, especially back when Ethereum was coming up.... it was one heck of a high profile exchange.

I still have screenshots saved from when the ETH/BTC pair alone occasionally peaked over 150k BTC in daily volume on Poloniex. Times have chanced and so did the environment within exchanges have to operate.

From Poloniex the volume shifted to Bittrex, where suddenly Bittrex for a short period of time became the largest exchange based on volume, and now Bittrex is just a mediocre exchange compared to what they were before.

At that time, my computer with low specifications always miss pumped coin that just listed in Poloniex. Very big volume trading really need good  computer to follow.  But now Binance domination and before they make new rules, when a lot of token can listed in Binance, Poloniex, Bittrex's user really decreased.

[UnderBitcoins]

I haven't used the Poloniex API but I know Binance has done a good job of making their API high profile.

Comparing the 2 APIs, it seems like Binance has invested more - Binance have quite a few more commands available.

I know one of the things that swung me towards Binance was the historical data that was nice for backtesting.

Once you're happy and invested with an exchange, there is just too much friction to jump a new one - especially with the AML and KYC hoops you need to jump through.

[ChrisPop]

Poloniex has lost interest from traders' a long time ago. Any respectable trader I know trades on big exchanges like Bistamp, Gemini or Kraken or if he is more altcoin focused he'd trade on Binance or Bittrex. Trust and reputation are things that once lost someone needs to make exponentially more efforts to regain them. BUT, changing the owner and manager with a big Asian firm which is willing to invest heavily into the exchange could be a nice game changer for the space. However it will be very hard for Poloniex to compete with already established exchange Binance.

[buwaytress]

You took the title right out of their email it seems;) (I am or was a Poloniex user so I got the email too).

Like others are saying, on the face of it, seems like a strange decision, judging from the fact that most Bitcoin trading volume still comes from the US but if anyone's actually used Polo recently, the state of affairs is so sad, compared to 2 years ago. They have practically one of the lowest volumes and thinnest orderbooks among the big names. Their loan facility also says it all: almost empty, no takers. 2 years ago hundreds of offers snapped up every minute. They just want to compete with Binance and the likes now I guess.

[dothebeats]

Poloniex is just doing what Binance did: leaving the US soil for a while and creating their own global firm with the aim to establish a separate market for the US residents and cater the rest of the world at the same time. Though they may not be the best crypto exchange there is today, they remain to be one of the few reliable ones when it comes to the platform—though not gonna lie their customer support until now is pretty lame.

[rodel caling]

What I read is that Poloniex is already leaving the US market. I guess some restrictions are already applying to this old exchange that is why they are forced to say good bye to their US customers. They might have failed to earn the nods of the powerful regulators in the country. They are already releasing statements that US citizens are not anymore allowed to create accounts and trade on the site. They are only allowed to withdraw their assets. Otherwise, Poloniex is still operating actively.

Unfortunately the hard regulation is the number one cause why Poloniex putbof the circulation at this time,  I agree with mate a lot of the customer is US citizen becuase if I am not wrong poloniex came form the US devs.
Same with situation of coinbase, the US government order to the crypto exchange under their jurisdiction to submit all the name of their customers to get pay the taxes.

[Pearls Before Swine]

This really isn't that big of a deal.  Buyouts like this one happen all the time, and there are plenty of other exchanges around that people in the states can use, and they're just as good as poloniex.  As I understand it, they had lost a significant amount of their customer base anyway so I don't think many people are going to be weeping and wailing over this development.

I just question what the issue is with U.S. customers in general and why polo cannot offer their services to them anymore.  Crypto is not illegal in the states, nor is it even heavily regulated AFAIK.  Does anyone have any insight into this?  I've asked the question before but can't seem to get a good answer.

[electronicash]

Reading the title, I was a bit worried if poloniex was closing down too. Glad it wasn't what I thought.
Poloniex has been a great exchange, on the low. If they are leaving the US market and banning US traders, I believe they have already planned everything out as regards to where they are going next. It wouldn't take much time to bounce back.
They might as well create a US only exchange just like binance did.

it probably will end like closing it down after Dec 15. it started when they delisted a lot of coins in polo. this is purely crypto exchange no USD in here or at least what i know.  if bullrun can happen while they still are up to serve traders, the exchange will get better with the profits they make but if bullrun ain't happening in the next 2 years, i doubt they'd last to compete the news exchanges that offers a lot than them.