a Satoshi walleta popular Bitcoin wallet focused on the Lightning Network, announced on Friday (24) that it is leaving the Apple and Google stores and will no longer serve US users.
Although the reason for leaving the US market was not explained, the community believes that the decision is related to local regulations. For example, last week the US imposed a $1 billion fine on brokerage Binance, prosecuting its founder, and also fined Kraken for the second time this year.
On Google Play, Wallet of Satoshi has over 500,000 downloads, proving its popularity. There is no information about the number of downloads in Apple’s App Store.
Satoshi wallet leaves the US market
Unlike other Bitcoin wallets, Wallet of Satoshi is not a self-custody wallet. In other words, the company is responsible for its users’ money and functions almost like a traditional bank. Therefore, this could be the reason for Wallet of Satoshi’s sudden exit from the US market.
After all, while regulators can track down wallet developers, authorities can also require funds to be frozen and sensitive data to be shared. In any case, Wallet of Satoshi did not mention any of these options.
“We are committed to providing the best Bitcoin experience with Wallet of Satoshi and are at the forefront of Lightning usability and adoption [Network]”points out the statement. “However, we have made the difficult decision to remove our app from the US Apple and Google app stores and will no longer serve US customers in the future.”
After the text, the developers note that this decision-making was not easy and that their commitment to their users remains the same, with their security being their main concern. As for the balances, Wallet of Satoshi explains that these can be moved to other wallets.
“Our existing US users can rest assured that you will have full access to your Bitcoin balance. You can easily withdraw them and transfer them to another wallet.”
To our esteemed Wallet of Satoshi community in the United States of America,
We are committed to providing the best Bitcoin experience with Wallet of Satoshi, leading the way in Lightning usability and adoption. However, we have made the difficult decision to remove…
— Wallet by Satoshi (@walletofsatoshi) November 24, 2023
Community reacts to the portfolio announcement
While some users are wondering why Wallet of Satoshi has left the US market, others are taking notice “You don’t even have to ask why”. The comments contain several criticisms of the American regulations.
“To everyone in the answers asking ‘why?’ You should be able to figure it out.”said John Carvalho, CEO of Synonym. “The WoS [Wallet of Satoshi] must comply with local regulations or laws in a way that they cannot or do not want to.”
“US users must do KYC. That’s where it’s going. Either you are Coinbase, toe the line or leave.”responded to the Infinite Insights profile.
Finally, others fear that the decision will be extended to other countries. In the comments, some also posted screenshots of their balance at zero, indicating that they have already moved their funds to another wallet.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
