Last week, several cryptocurrency exchanges lent their support to the new Terra blockchain by announcing their participation in the LUNA 2.0 airdrop. The fourth largest crypto exchange in the world, Kraken is among the first to offer a listing for the new token on its platform. After heavy criticism within the industry, Kraken CEO Jesse Powell was quick to take to Twitter to address the critics.
A quotation that would have been motivated by customer demand
Responding to a tweet from Nic Carter of Castle Ventures, Mr Powell said the listing was in response to a request made by clients of the platform. He notably suggested that his exchange could not afford to lose these before claiming that the listing is not an endorsement. He said in another tweet that Kraken is a comparable marketplace to eBay and that simply satisfying bitcoin traders doesn’t pay the bills.
“Revenues from these other cryptocurrencies pay for all the security, pro-BTC lobbying and marketing,” he tweeted. This comment reacted Rohan Grey, assistant professor of law at the University of Willamette, who did not fail to challenge the CEO of Kraken. In particular, he reminded the latter that eBay does not allow fraudsters to remain on its platform. After this tackle which refers to the suspicions of fraud which weigh on the promoters of Terra, Mr. Gray asked why the crypto exchanges were offering a second chance to the latter.
Cryptocurrency exchanges reflect the growth of the cryptosphere
With attacks coming from all sides, Powell took to a separate thread to defend the future of cryptocurrency exchanges in the industry. He notably stated that there will be “a paradigm shift over the next 10 years”, from which cryptocurrency exchanges will come out on top. He then allowed himself to share an investment advice on the market in response to a comment asking him his preference between bitcoin and cryptocurrency exchanges. “Personally, I would like to own both. Exchanges are sort of a bet on the growth of the whole space,” he replied.
Customer satisfaction and the survival of the exchange are the main reasons that made Kraken list the new LUNA token. The exchange therefore prioritized its interests and those of its customers as any other company in the industry would. However, this choice is struggling with those who are calling for an outright exclusion of Terra and its promoters after last month’s disaster.
