Coinbase is removing support for Bitcoin SV (BSV), warning users to withdraw their BSV funds as any remaining BSV in their accounts will be liquidated.
Key Takeaways
- Coinbase, the largest US-based cryptocurrency exchange, has announced the removal of support for Bitcoin SV (BSV).
- Users are warned that failing to withdraw their BSV funds will result in liquidation of their holdings.
- Bitcoin SV emerged in 2018 as a result of a hard fork from Bitcoin Cash, and it has been a contentious cryptocurrency ever since.
- Coinbase’s decision to delist BSV in 2021 was influenced by a “51% attack” on its blockchain.
Coinbase Takes a Bold Move
In a recent announcement, Coinbase Global Inc (COIN) has declared its intention to fully discontinue support for Bitcoin SV (BSV/USD). The exchange, known as the largest in the United States, has made it clear that holders of BSV should take immediate action to withdraw their assets from their Coinbase accounts to avoid potential liquidation.
Coinbase confirmed this decision to Decrypt, a prominent cryptocurrency news outlet, emphasizing that support for BSV is being phased out. The notice issued by Coinbase states, “If you fail to withdraw your BSV funds, Coinbase will liquidate any remaining BSV remaining in your Coinbase account.”
The Controversy Surrounding Bitcoin SV
Bitcoin SV, born from a contentious hard fork from Bitcoin Cash in November 2018, has been at the center of debates within the cryptocurrency community. Hard forks are events when a blockchain splits into two, either through planned upgrades or developer disagreements, causing an involuntary division.
The picking of winners and losers continues in the free markets of N. America. The land of the free, home of the brave.
Coinbase Is Removing Support For Bitcoin SV, Warns Holders To Withdraw Or Risk Getting Liquidated— Bernard Macarius (@MacariusBernard) November 7, 2023
One of the reasons behind BSV’s notoriety is its main proponent, Australian computer scientist Craig Wright, who controversially claims to be Satoshi Nakamoto, the pseudonymous creator of Bitcoin. While BSV supporters refer to it as “the original Bitcoin,” it has faced delisting from several major exchanges, with Kraken citing Wright’s threats of lawsuits as a contributing factor to their decision.
BSV’s Current Standing
As of now, Bitcoin SV ranks 53rd among digital assets, boasting a market capitalization of approximately $967 million, according to CoinMarketCap, a prominent cryptocurrency market data platform.
Coinbase’s choice to delist BSV dates back to 2021, following a “51% attack” on its underlying blockchain, causing instability within the network. Despite the delisting, Coinbase users still have the option to hold BSV in their wallets on the platform, albeit without the ability to buy or sell.
In 2022, Craig Wright initiated legal action against cryptocurrency exchanges Kraken and Coinbase, alleging “misrepresentation” for referring to Bitcoin as Bitcoin Core.
To Conclude
Coinbase’s decision to remove support for Bitcoin SV underscores the importance of security and stability in the cryptocurrency market. With ongoing debates surrounding the identity of Satoshi Nakamoto and the legitimacy of various Bitcoin iterations, the industry remains dynamic and ever-evolving.
This move by Coinbase may prompt further discussions about the future of contentious cryptocurrencies and their place in the broader crypto ecosystem.
