Litecoin’s future on centralized exchanges seems shady with implementation of latest know-how
With the introduction of the MWEB Litecoin update, the cryptocurrency turns into extra personal and focuses extra on its on-chain safety. Whereas most cryptocurrency traders are welcoming the replace, centralized and controlled cryptocurrency exchanges in international locations like South Korea could provoke the delisting course of as a result of potential authorized points.
The primary challenge with the brand new replace, which will probably be activated on block 2257920, is improved confidentiality between senders and receivers in a transaction. Mimblewimble Extension Blocks enable customers to ship cash to the extension block and again to the primary chain.
Merely put, MWED opens up the chance of sending “confidential” transactions on a series that hides the quantity despatched. Primarily, it makes the monitoring of a despatched sum not possible and nontaxable by authorities in international locations like South Korea. Builders have additionally added that updates enhance the community’s throughput and transaction processing pace.
Features much like the nameless transactions can be found on Monero cryptocurrency, which can be largely regulated in European and Asian legislatures and banned by probably the most centralized cryptocurrency exchanges.
In line with Upbit’s announcement, the trade is at all times seeking to forestall cash laundering, which is why they’ll haven’t any different selection however to delist Litecoin if they’ll see deposits to the trade by way of Mimblewimble.
The trade has additionally added that deposits made by way of the brand new know-how will result in a everlasting lack of funds because the trade is not going to be obtainable to confirm the transacted quantity or the sender.
Whereas Litecoin’s place on giant CEXes is questionable, decentralized exchanges are welcoming new features that make Litecoin buying and selling safer and decentralized.