Poloniex Faces Regulatory Warnings Amidst User Withdrawal Issues

By: Isha Das

The UK Financial Conduct Authority (FCA) has issued a warning against the crypto exchange, Poloniex, for operating financial services without permission within UK jurisdiction. The FCA has stated that Poloniex is promoting financial services or products without official permission and that consumers should avoid dealing with the firm.

The warning comes at a critical time for the exchange, which is already dealing with challenges as users report difficulties withdrawing their assets. This follows a $100 million hack that happened in November, causing the firm to halt deposit and withdrawal functions. So far, only selected tokens are available for withdrawal via the Tron Network, but the company plans to extend withdrawal services to major cryptocurrencies like Bitcoin and Ethereum within the next two weeks.

Furthermore, various cryptocurrencies are trading at a slightly lower value on Poloniex compared to other platforms like Binance. The trading values of Bitcoin and Ethereum, specifically, are experiencing a notable discount relative to their prices on Binance.