Discussions about the cryptocurrency Monero (XMR) on social networks have increased following the announcement of the closure of the LocalMonero platform, according to Santiment. This coincides with states' efforts to regulate privacy-focused assets.

LocalMonero, a Monero-based P2P exchange, has announced its closure due to internal and external factors. After almost seven years of operation, the platform is ceasing operations, immediately stopping new registrations and posting advertisements.

XMR trading will be suspended as of May 14, and the site is scheduled to close on November 7, 2024. Users are advised to withdraw funds from their wallets before the specified deadline to avoid possible loss of assets.

Despite the closure, the LocalMonero team expressed confidence in the future of Monero, highlighting the development of the ecosystem over the years and the upcoming launch of Monero DEXs such as Haveno and Serai.

LocalMonero's closure coincides with increased law enforcement pressure on crypto privacy projects. Many see this as another blow to privacy coins and protocols, especially given Kraken's decision to stop supporting Monero for customers in Ireland and Belgium in April.

Amid these developments, Monero (XMR) showed a mixed reaction to the closure of LocalMonero, seeing both buying and selling activity within 48 hours of the announcement. It is currently trading at $129.27, down 3% from the day's high of $133.70.