Trezor makes sure that even when the coinjoin function is turned off, user funds are still available.
The Trezor Suite’s coinjoin function will no longer be available, according to the crypto hardware wallet maker. Collaboration with zkSNACKs, creators of the Wasabi Wallet, will end in June. Customers may be certain that their Coinjoin money will be available even after the closure, according to Trezor.
Coinjoin enables users to conceal the provenance and final destinations of their funds as a privacy utility for Bitcoin transactions. When it came to hardware wallets that supported coinjoin transactions, Trezor was pioneering. Last year, in April, it added the coinjoin functionality to the Trezor Model T, and in August, it expanded the implementation to the Trezor Model One.
It was with a “heavy heart” and a desire for “legal clarification” that zkSNACKs announced in a recent blog post that it would be discontinuing its coinjoin coordination service. The Wasabi Wallet team assured users that its privacy features, including Tor integration and client-side filtering, would remain unchanged even in the absence of coinjoin.
This comes after zkSNACKs, in response to regulatory constraints, decided to restrict access to its services, including Wasabi Wallet, for US persons and residents. Along with the IP address ban that is already in place, this prohibition also applies to linked websites and services.
In light of persistent regulatory uncertainties, Phoenix, an additional provider of cryptocurrency wallets, recently declared its intention to withdraw from the United States market. Please end your channels and transfer your funds by May 5, 2024, since access will be stopped after that.
According to Acinq, the Bitcoin business responsible for Phoenix, “recent pronouncements from U.S. authorities throw a question on whether self-custodial wallet providers, Lightning service providers, or even Lightning nodes may be deemed Money Services Businesses and be regulated as such. This is how Acinq defended their decision.”
This mass departure is in response to the SEC’s recent action against Samourai Wallet, a supplier of non-custodial wallets, and the increasing investigation into MetaMask. Consensys, the parent company of MetaMask, allegedly received a Wells Notice from the SEC. The SEC is contemplating legal action, and this notice is a preliminary warning.
Rather than sit on its hands and wait for the SEC to do anything, Consensys decided to tackle the regulatory issues directly by suing the agency. The securities agency had already served a Wells Notice on Uniswap Labs, the group responsible for creating the Uniswap decentralized exchange.
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