Cryptopia Delisting Not JUST about community accusations? Thoughts?

So I got this response from Cryptopia yesterday:

"Thanks for contacting Cryptopia.

While the behavior of many members of the community is one of the reasons for the delisting, there are other issues as well similar to the reasons SAFEX has been delisted from other exchanges.

I apologise for the delay, the wallet is now back online. If you have any SAFEX in your account please withdrawal at your earliest convenience."

If part of the reason is due to the same reasons Bitterex delisted Safex, does this mean other exchanges might reject it on the same grounds?

People forget one of the main purposes BTC was created in the first place was to make things like 3rd party exchanges unnecessary.

Etherdelta already does this for the ETH tokens and more options will be coming along as development in the Crypto Finance space continues. Because .gov will take umbrage with the ‘dividend’ owners get I doubt USA private exchanges will carry this coin. This doesn’t stop the project or idea from finishing development, in fact it will just make the coins rare and more difficult to access in the countries with draconian laws.

Look for it to get listed on exchanges based out of other more free market countries, but this will also take time. HODL if you have them, and don’t go rushing out paying crazy prices to get them if you don’t.

The Honest Money revolution is just starting and SafeX will be a major player once the software is released.

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I have two theories on this.

  1. Cryptopia is afraid that Safex will be tough competition once the marketplace launches.

Or

  1. It really is all due to the “abuse” their staff received from some day traders, and they are making enough money as it is with their small team and they don’t want to deal with it.

Neither would surprise me at this point.

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Exchanges can’t pay dividend, so imagine how many support tickets will be there when dividend is send and people that have SAFEX on exchanges are not going to receive it.

Only Safex coins locked into the official Safex wallet are eligible for dividends. So I’m not sure why that would be a concern. If your coins are on the exchange OF COURSE you won’t get dividends, that’s the whole point, it’s an incentive to hold.

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Seems to me like cryptopia is changing their story as they please.

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Based on a lot of posts I’ve seen here, I’d say it is the community to blame.

A lot of people with 1000 Safex opening tickets. That’s like maybe $20 worth… when you work in the exchange percentage, you end up with fractions of a penny for Cryptopia to pay their support team to handle those tickets.

If I were the support team manager, and I’m seeing 25% of my support tickets opened for a coin that brings in 0.01% of my revenue, the decision to delist is pretty obvious. I wouldn’t be surprised if that’s the real reason why Bittrex delisted too for that matter.

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Makes sense when put like that.

Cryptopia has its own coin which is being given in their recommendation system… Hypocrites…

Statistically its fine to make that statement but saying people with 1000 Safex are part of the ‘Safex Community’ is mis-representing the people who are actually trying to represent the product.

If you want to use statistics like this surely more mainstream cryptos must generate similar $/ticket ratios? (to clarify, im not going to find out if that is true… just speculation)

Whine all you want, it’s a business decision. Your opinion on whether they should “represent the community” (whatever that means) is meaningless.

Then you dont think the amount of tickets created by people entering the crypto market for more mainstream currencies who dont know how anything works is is proportionate to tickets created regarding what must be considered a more obscure crypto like SAFEX?

(As a sidenote…not sure how I was ‘whining’?)

You’re saying that the actions of a few shouldn’t represent the many. I don’t disagree with you about that philosophically, I’m saying from a business perspective that doesn’t matter.

From a business perspective Cryptopia should have realised how much trade volume they were about to absorb from a currency that had 90% of its trade volume (cryptopia having the other 10%) on an exchange that was in the process of delisting and held out regardless of new tickets until they made a shed load of rake while people panic sold their remaining Safex. If anything the delisting seems counter to un-emotional business decisions. Assuming that the whining of a minority is the reason for their actions.

Edit: From what I said, I am not suggesting there is any other, undisclosed, reason for their actions.

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They were about to receive all Bittrex volume and they rejected it. Doesn’t make sense in terms of business.

Their excuse for delisting because of the legal problems seems like made up on the spot to me. If that was a real reason, they wouldn’t post such unprofessional explanation on the main page of BTC-SAFEX exchange.

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Bittrex averaged about 40 BTC trade volume a day.

Fees on Cryptopia: 0.2% = 0.08 BTC per day. Maybe about $1000 a day for them with what BTC was worth then?

I’m not saying that’s unsustainable, but when you take the high salaries that you have to pay support staff for an operation like that (it’s a specialized field), and then mix in legal threats (which they have to take seriously, attorneys aren’t cheap either) it very quickly becomes a losing venture for them.

Do I think it’s short-sighted of them? Absolutely. They aren’t in the speculation business though, they’re in the trading business. To them, Safex could be worth nothing in a month and all those extra up-front costs would be sunk.

And again… their owner said they got over 1000 support tickets and 10,000 emails in one day. They’re probably a small company, too. That’s not easy to manage – it’s much easier just to delist, keep your sanity, and keep operating as you normally were. They probably operate on margins thinner than you think anyway.

Surely if it was just business they would have considered the imminent increase in volume? I’m in no way disregarding the possible financial backlash of that day but given all info available I find it very hard to believe the decision was made devoid of emotion.

Edit: typo.

Furthermore what would they have to gain making statements directly citing unruly ‘community members’ with regard to delisting if the actions were for business reasons only?

Again, as much as I agree with you there, it’s still speculation.

And there probably were quite a few unruly people. It’s a NZ cultural thing as I understand it, they don’t put up with rude customers.

Telegram is going to dispatch cycle two of subsidizing before they discharge their open ICO, with the expectations of raising $1.6billion before the overall population venture round.