Bitfinex crypto exchange has revealed that it will kickoff a delisting process starting from coming Friday to remove crypto trading pairs that have very low volumes.
In a blog post released on March 2, Bitfinex stated that it will delist 46 cryptocurrency trading pairs starting on March 6 as a result of low liquidity within the platform. The exchange platform also stated that the removal of the said trading pairs is a normal procedure that is meant to enhance the platform’s liquidity. The blog post also stated that the exercise will streamline as well as optimize the trading experience of the platform’s clients.
Most of the crypto trading pairs which are set to be delisted coming Friday comprise a big list of altcoins that trade against Ether (ETH) which is the second-largest crypto as per its market cap. The list comprises 30 trading pairs such as OKEx tokens (OKB), Nucleus Vision (NCASH) and Verge (XVG).
The rest of the trading pairs comprises of altcoins that trade against Bitcoin (BTC) such as Hydrol Protocol (HOT) as well as Medicalchain (MTN/BTC). The exchange also lists two altcoins that trade against Dai (DAI) which include OmiseGO (OMG/DAI) as well as 0x (ZRX) /DAI. The other trading pair facing the chop trades against Yen (XVG/JPY).
Bitfinex advises its clients to cancel all open orders with the targeted trading pairs by 10.00 AM UTC on March 6. The exchange stated that any remaining open orders by that time will instantly be canceled.
As per data retrieved from the crypto tracking platform, CoinGecko, as of now, Bitfinex supports approximately 350 trading pairs within its platform. By publication time, Bitfinex’s trading volume per day stands at $118 million, Coin360 data shows.
Liquidity within the crypto industry is the ease at which a certain crypto asset can become cash with no effect on its price. Delisting is a common activity to enhance liquidity for crypto exchanges. Bitfinex is not the only platform to delist trading pairs with low liquidity. In 2019, Binance conducted a delisting exercise where 30 crypto trading pairs were removed.