Coinbase Delisting DESO Token Causes 20% Price Drop

In a surprising move, crypto exchange Coinbase has announced its decision to delist Decentralized Social’s native token DESO, causing a significant drop in the token’s price. The announcement has led to a 20% decrease in DESO’s value over the past 24 hours, leaving traders reeling from the news.

DESO, which raised over $200 million from prominent investors such as a16z, Pantera Capital, Coinbase Ventures, and Sequoia, will no longer be available for trading on Coinbase after November 8. The exchange has already moved DESO order books to limit-only mode, allowing traders to place only limit orders as the token faces legal issues.

The decision to delist DESO has sparked disappointment among investors who believed in the project’s vision of decentralized social media. DESO Protocol founder Nader Al-Naji expressed his disappointment with the move, likening it to the situation faced by Ripple’s XRP token and vowing to relist DeSo on Coinbase in the future.

Following the delisting announcement and a broader crypto market crash, DESO’s price plummeted by 20%, now trading at $4.81. The token has experienced a significant decline of 86% year-to-date, with trading volume increasing by 555% as investors rush to sell off their holdings.

Coinbase’s decision to delist DESO comes amidst a broader regulatory crackdown, with the exchange also planning to remove all MiCA non-compliant stablecoins from its European platforms by the end of December. This move is in response to the upcoming implementation of the Markets in Crypto-Assets (MiCA) regulations in the European Union, aimed at enhancing oversight and consumer protection in the crypto market.

As DESO faces continued price fluctuations and declining investor interest, the crypto community is closely watching how the project will navigate these challenges in the future.