Kraken stops supporting Namecoin due to low trading volume

During the last couple of days, Kraken has received lots of media attention, mainly thanks to their involvement in paying back people affected by the Mt Gox hack. However, not many know that the bitcoin exchange recently decided to reassess which of their coins were worth keeping and not.

With this in mind, according to a recent blog post, Kraken decided to delist Namecoin from their exchange. Based on this, customers will no longer be able to either trade or deposit Namecoin on the Kraken platform. Additionally, users have been advised to withdraw their Namecoin deposits as soon as possible.

It seems like the decision wasn’t based on the current state of the Namecoin currency, but rather on the lack of trading volume on the exchange. With this in mind, while Kraken has long supported Namecoin in various ways, including merged mining, finding a fatal flaw and encouraging people to trade with near 0 fees for a prolonged period of time, trading volumes didn’t increase.

As their efforts were supposedly not enough to gather the loyalty of the Namecoin community and raise enough money to make the coin worth supporting in the future, Kraken decided to stop offering exchange services for Namecoin at the moment.

Based on everything that has been outlined so far, what do you personally think about Kraken’s decision? Will this affect the Namecoin alternative digital currency? Let us know your thoughts in the comment section below.

Source: Kraken Blog

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