You must have heard, or read, about the infamous oil crises in the 70s where the demand for oil was so high that it had to be controlled by unusually long wait times and rationing. While the following developments involving cryptocurrency does not seem as drastic as those past events, one would not be able to do deny that it certainly has a funny resemblance to them. No less than three cryptocurrency exchanges recently announced in the past few weeks that they would be suspending registration for new users.
The exchanges in question are Bittrex, Bitfinex, and Binance (update: Binance very r=cently stated that it will now entertain limited user-registrations). 2017 has been immensely significant in the exposure of cryptocurrencies. While being in play for a few years, most people did not deem cryptocurrency as a substantial investment until recently. The change in that line of thinking was influenced by the rise of Bitcoin and how it was discussed continuously in major publications such as Forbes and even through the satirical perspective of late night television.
The coverage only worked towards further enhancing the general population’s interest in cryptocurrencies and how they can bank on this phenomenon. This, as a result, increased the number of people signing up for means to get into the world of cryptocurrency, which brings us to the developments from these exchanges. Bittrex was the first exchange that came forward with announcing the suspension of new registrations.
Last month, the exchange rolled out the following announcement on its website:
“We have received an enormous number of new account registrations over the past few weeks. We are
excited to have so many new users who want to join the Bittrex community. Unfortunately, we have to
make a few upgrades to our support and backend systems to handle the increased traffic and load. As
such, we have halted new user registrations for the time being.”
The statement continued to assure the exchange’s current users that their existing accounts will not be affected in any manner and they can keep using them without any issues.
Whereas, Bitfinex has decided to inform new users of its decision through a popup window on its sign up page, which relays the following message:
“Thank you for your interest in opening a Bitfinex account. However, due to extraordinary demand, new
account creation has been temporarily paused.”
However, the exchange quickly follows up with a reassurance that new registrations will be back on
track by as soon as January 15
“This pause for new account creation is a temporary measure. New account registration will resume by
January 15th, 2018 at the latest.”
Coming to Binance, the company had announced last month that it was halting new user registrations, but on January 8, it announced that it would be resuming the process in a limited capacity.
“We are pleased to announce that Binance will re-open limited user registrations starting today. To
ensure performance for our existing users, only a limited number of new registrations will be allowed
It remains to be seen whether any other exchanges decide to follow this pattern soon.