Two prominent cryptocurrency wallet providers, Acinq and zkSNACKs, have recently announced that they will be discontinuing their services for United States customers, citing concerns about the regulatory environment and the potential for their services to be considered money service businesses, which would require additional licensing and compliance.

This development comes on the heels of a recent crackdown by US regulatory agencies on self-custodial cryptocurrency wallet providers, including the issuance of a Wells notice to Consensys, the creator of MetaMask, and the arrest of the co-founders of Samourai Wallet on charges of money laundering. The regulatory environment for cryptocurrency wallet providers has become increasingly uncertain, and Acinq and zkSNACKs have decided to discontinue their services for US customers in order to avoid potential legal and regulatory issues.

Phoenix Wallet users have been given until May 2 to adjust to the changes, while the new policy at Wasabi Wallet was implemented effective immediately. This means that US customers of these wallet providers will no longer be able to access their services, and will need to find alternative solutions for managing their cryptocurrency holdings.

The discontinuation of services by Acinq and zkSNACKs is a significant development in the cryptocurrency space, as it highlights the ongoing regulatory challenges faced by self-custodial wallet providers. The move also raises concerns about the potential impact on users' ability to access and manage their cryptocurrency holdings, and the overall health of the cryptocurrency market.

The recent regulatory actions by US agencies have created a climate of uncertainty for cryptocurrency wallet providers, and it is unclear how the situation will evolve in the coming months. Some analysts have expressed concerns that the regulatory crackdown could lead to a decrease in innovation and adoption in the cryptocurrency space, while others see it as a necessary step to prevent illicit activities and protect users.

Overall, the discontinuation of services by Acinq and zkSNACKs is a significant development in the cryptocurrency space, and highlights the ongoing regulatory challenges faced by self-custodial wallet providers. The situation is fluid and evolving, and it remains to be seen how the regulatory environment will impact the cryptocurrency market in the coming months.