Coinbase
Coinbase is one of the world's largest crypto exchanges. Coinbase on X / Video Screenshot

KEY POINTS

  • Coinbase did not go into detail about the reasons for suspending the coins but it said the tokens went through recent listing reviews
  • The crypto exchange reviews coins regularly to ensure they do not violate any sanctions or regulatory rules
  • Many crypto users are criticizing Coinbase over the decision, with some demanding answers on why $FLOKI trading will be suspended

Cryptocurrency exchange giant Coinbase will suspend trading for three meme coins in mid-April following a review of its listing standards, the exchange announced late Wednesday.

Most crypto users are unhappy with the decision, with many criticizing the exchange for supposedly making money off of the meme coins only to dump them as the bear market kicks in.

Coinbase to Suspend $FLOKI, $TURBO, $GIGA Trading in NY

Coinbase took to X Wednesday to announce that based on its recent reviews of listed meme coins, trading for FLOKI, TURBO, Gigachad (GIGA) will be suspended in New York only on April 14, 2025, on or around 2 PM ET."

In an article on its website discussing digital coin listings, Coinbase has provided the following points for how it gauges coins for listing:

  • Sanctions – Coinbase said it complies with sanctions laws and regulations administered by the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC), suggesting that coins may not be listed or delisted if they are found to have links to OFAC sanctions.
  • Money laundering and terrorist financing – The exchange said it has invested heavily in managing risks "that bad actors may attempt to misuse" so they can facilitate terrorist financing activities or money laundering.
  • Consumer protection – Coinbase said it works to exclude digital assets that are "likely to defraud or harm consumers."

Coinbase added that it also reviews the team and entity/entities behind a crypto asset, as well as fundraising activities and investors around the project, and potential risks associated with the asset itself or the protocol.

Crypto Users Decry Coinbase's Latest Move

Prominent crypto YouTuber Wendy O was among those who questioned Coinbase on its decision to delist FLOKI, the sixth-largest meme coin by market value as per CoinGecko data.

She also said New York should "do better" in its crypto regulations, suggesting that the city's regulatory hurdles may have affected Coinbase's review of the FLOKI coin.

Another prominent trader and Bitcoin maximalist said FLOKI "shouldn't be in the same category" as GIGA and TURBO, since it can be considered a dino memecoin, meme tokens that have been in the market for several years.

Iced, a well-followed Solana (SOL) user, said "meme coin supercycle has been cancelled" due to Coinbase's announcement, referring to the much-anticipated market period wherein meme tokens surge dramatically compared to Bitcoin and major altcoins.

"Exchanges were so quick to make money on memes and now that they slow down they get rid of them," said the well-followed IncomeSharks account.

Another user agreed, saying Coinbase made a lot of money from meme tokens but is now "gradually laying them off as bear market is unfolding."

Coinbase has yet to respond to increasing concerns about the matter.

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