Crypto Marketplace Paxful Announces Delisting of Ethereum

• ETH tokens diverted attention and resources away from Bitcoin as per the CEO.
• Users have till Thursday to settle any outstanding ETH transactions or complaints.

Paxful, a cryptocurrency marketplace, said on Wednesday that it has removed Ethereum from its platform. Problems with the security of the blockchain network were mentioned by the firm. The CEO of the firm, Ray Youssef, has said that the move to delist ETH would have direct consequences for the platform.

Ethereum is the second-largest cryptocurrency by market value, thus this assertion might have far-reaching consequences for it. While Youssef acknowledged Ethereum’s usefulness in financial use cases like credit and lending. He was critical of the tokenization mechanism used by the Ethereum network.

Not Really Decentralized

The CEO mentioned how the blockchain infrastructure is now using the proof of stake method. Instead of the proof of reserves system. According to Paxful’s CEO, there is a small handful of individuals that run the Ethereum network. Thus it’s not really decentralized.

He made a comment on how Ethereum had led to tokens that were really frauds that had stolen billions of dollars from individuals. He continued by saying that the ETH tokens diverted attention and resources away from Bitcoin.

Moreover, as Youssef explains, users of Paxful have till Thursday. As shown in a snapshot of the newsletter, to settle any outstanding ETH transactions or complaints.

As Vitalik Buterin anticipated before The Merge, the Ethereum (ETH) price has not yet factored in the value of its move to the proof of stake consensus. According to cryptocurrency market data provider CMC, the current price of Ethereum is $1,210.

Support for ETH was introduced to Paxful in April 2021, with the business stating at the time that “Ethereum gives users a different chance to claim their stake in the crypto world.”