LocalMonero, a P2P Exchange, Forced to Shut Down Amidst Ongoing Crackdown

On May 14, the trading of the privacy-focused crypto asset will come to a halt on the platform. The company has not revealed the exact reasons for its sudden closure. The peer-to-peer trading platform for Monero, a privacy coin, has joined the list of recent closures and arrests related to crypto privacy. As of May 7, all new signups and ad posts for Monero trades have been blocked on LocalMonero. The company states that this change is effective immediately. Furthermore, the trading of the privacy-focused cryptocurrency asset will be disabled on the platform from May 14. The company has not disclosed the specific causes of its shutdown, but has mentioned that a combination of internal and external factors contributed to it. Additionally, the website will be shut down on November 7. Users are advised to withdraw their funds from their wallets before this date to avoid any complications. The P2P Monero exchange, which was established in 2017 as an alternative to LocalBitcoins, recognized the significant growth of the Monero ecosystem. The team firmly believes that decentralized exchanges like Haveno and Serai are on the horizon, regardless of the existence of their platform. They also believe that the recently launched privacy upgrade, Full-Chain Membership Proofs (FCMPs), further strengthens this belief. Some people see this development as another setback for privacy-focused cryptocurrencies and protocols. This comes after Kraken’s decision in April to stop supporting Monero for its Irish and Belgian clients, as well as the recent legal action against Tornado Cash. Although the platform did not provide a specific cause for its shutdown, people are free to speculate. Financial authorities worldwide have recently cracked down on privacy coins and services. In April, the co-founders of the crypto mixer Samourai Wallet were detained on charges of money laundering. As the attack on privacy intensified, the creators of other privacy services, such as Trezor and Wasabi, have also recently closed their operations.