Apecoin DAO blocks staking in North America, APE drops over 7%

NEW DELHI (CoinChapter.com) — Apecoin DAO has announced that it will restrict users from parts of North America and other regions worldwide due to a restrictive regulatory environment.

The Apecoin DAO announced that it will geo-block users in the United States, Canada, North
Korea, Syria, Iran, Cuba, Russia, Crimea, Donetsk, and Luhansk. In detail, geo-blocking refers to restricting access to internet content based on a user’s geographical location.

The Apecoin governing body shared the detail in its latest project update regarding the upcoming launch of ApeStake.io. Apecoin DAO has delayed its staking program multiple times over the past few months.

In a report, Messari noted that the delay might yield positive results as it would ensure the security of Apecoin’s staking smart contracts.

We are aware that geoblocking some users in North America is inconvenient for many members of the ApeCoin community. Unfortunately, in today’s regulatory environment, we had no good alternative.

ApeCoin DAO said in its statement

Per the announcement, the ApeStake site will go live on Dec 5, following which an associated smart contract will get funds in the next two days. Stakers would be able to accrue Apecoin rewards from Dec 12.

Meanwhile, the decision is likely a result of a Securities and Exchange Commission launching a probe into Yuga Labs, the team behind the BAYC project, over an alleged violation related to digital asset offering.

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Per a report from Bloomberg report, the regulatory body would investigate if NFT sales by the firm are comparable to traditional stocks. Additionally, the SEC would also look into if Yuga’s sale of digital assets is liable to the same disclosures required for security offerings.

The SEC would look into Yuga Labs’ distribution of ApeCoin tokens.

APE Price Fails To Overcome 20-Day EMA Resistance

APE price has been trading below descending trendline resistance since Aug this year. Moreover, the Apecoin token’s 100-day EMA (blue wave) has acted as a dynamic resistance for the APE price.

APE price fell nearly 8% between intraday high ($3.5) and low ($3.23) on Nov 24. Long bottom tails on the daily candles suggest bears are active near the lower price levels. However, if bears continue selling, the Apecoin token price might fall to test support near $2.99.

Needling below immediate support could result in APE price dropping to support near $2.6 before recovering.

However, if bulls succeed in driving Apecoin price upward, the crypto token would face immediate resistance near $3.51. A break and hold above immediate resistance might help APE price rise to resistance near $4.04 before downside corrections pare gains.

Meanwhile, APE’s relative strength index remains neutral, with a value of 44.65 on the daily chart.

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