Wallet of Satoshi, a preferred pockets for use with with Bitcoin’s Lightning Network, introduced the tip of U.S. support on Nov. 24.
The corporate mentioned that it had determined to take away its app from the U.S. and Google app shops and cease serving American customers going ahead.
The announcement solely broadly described the explanations for the change, stating:
“This decision doesn’t come lightly. Our commitment to providing a secure, user-friendly, and compliant platform globally is unwavering. Our top priority is the safety and interests of our customers and our company.”
Wallet of Satoshi in any other case mentioned that it hopes to ultimately resume U.S. operations sooner or later. It added that U.S. customers will proceed to have entry to funds that at present exist of their pockets, permitting for transactions and withdrawals.
Regulatory danger could also be motive for takedown
Many members of the crypto group have speculated that, as a result of of the U.S.-specific coverage change, the choice is a response to American laws.
Wallet of Satoshi is a custodial pockets, that means that the supplier centrally holds and manages funds on behalf of pockets customers. In contrast, the official Bitcoin pockets and numerous different Lightning Wallets are non-custodial wallets, that means that they permit customers to take care of full management of their cryptocurrency stability on-chain.
Wallet of Satoshi’s centralized and custodial mannequin doubtless places the corporate in danger of regulatory enforcement, much like cryptocurrency exchanges that handle funds on behalf of their customers. Many such exchanges have not too long ago confronted regulatory motion.
Previous to the announcement, some group members speculated that Google and Apple had banned the pockets from their respective app shops. Nevertheless, Wallet of Satoshi’s newest replace, mixed with the truth that the app is offered on worldwide variations of every app retailer, means that the shops didn’t impose a ban.
One other commentator, Kevin Rooke, observed that the app not too long ago skilled excessive volumes, dealing with over 1.1 million of Lightning transactions November.
