Coinbase Is Delisting 80 Non-USD Trading Pairs to Enhance Market Liquidity

Coinbase, a major player in the digital asset exchange sphere, has recently made a significant move. On October 17, the platform announced its decision to delist 80 non-USD trading pairs.

The delisting action primarily targets trading pairs involving major cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH), along with Tether (USDT) and fiat currencies including the Euro (EUR) and the British Pound (GBP). 

Coinbase has emphasized that this decision is part of its strategy to improve liquidity and overall market health.

The affected trading pairs encompass non-USD markets across Coinbase Exchange, Advanced Trade, and Coinbase Prime. The platform is striving to streamline trading activity, directing it towards essential pairs like BTC/USD and ETH/USD for a more efficient trading experience.

This move comes after Coinbase witnessed a notable 50% decrease in spot trading volume during Q3 2023 compared to the previous quarters. The most active trading pair on Coinbase currently is BTC/USD, boasting a daily volume of $224.3 million.

The decision to delist less active trading pairs is part of Coinbase’s larger effort to focus on its core markets and boost trading activity in those pairs. By doing so, Coinbase aims to counter the challenges posed by declining trading volumes, providing a more streamlined trading environment.

Coinbase’s strategic decision also aligns with its ongoing efforts to navigate the regulatory landscape. The cryptocurrency exchange has been embroiled in a legal battle with the U.S. Securities and Exchange Commission (SEC) since June. The SEC has accused Coinbase of operating as an unregistered exchange.

The regulatory scrutiny faced by Coinbase has emphasized the importance of streamlining operations and prioritizing liquidity. By delisting non-USD trading pairs, Coinbase is taking proactive steps to address regulatory challenges and align with compliance requirements.

We will suspend trading on 80 non-USD markets from Coinbase Exchange, Advanced Trade, and Coinbase Prime on or around 3:30PM ET on 16 October 2023.

To see the full list of affected markets, please see here: https://t.co/rWCquh0QUr

— Coinbase Exchange 🛡️ (@CoinbaseExch) October 2, 2023

Trends Across the Crypto Industry

Delisting less liquid tokens and trading pairs has become a common trend in the cryptocurrency exchange space. Coinbase is not the only platform to implement such measures; others, including Binance, have also delisted multiple crypto pairs to streamline their offerings and enhance liquidity.

The crypto industry is witnessing a shift towards prioritizing core markets and key trading pairs, reflecting a broader trend of consolidation and focus on more prominent cryptocurrencies.

Coinbase’s decision to delist 80 non-USD trading pairs signifies a strategic move aimed at boosting liquidity and refining the overall trading experience for users.