Coinbase Ends Support for Bitcoin SV (BSV)

Coinbase has ceased support for Bitcoin SV (BSV), removing the coin from its trading platform.

BSV Is No More hosted by Coinbase
According to Coinbase, it has stopped supporting BSV and will no longer have the coin available on its trading platform as of right now.

Customers of Coinbase are effectively prohibited from accessing their BSV holdings and from adding additional coins to their wallets or withdrawing existing ones.

The assets would have been liquidated and changed to the market value of another coin supported by Coinbase for people who had previously owned BSV on Coinbase and did not shift the token, even after getting a warning from the cryptocurrency exchange.

The user’s account will be credited with the exact value of the new cryptocurrency, less any transaction fees.

We have deprecated support for Bitcoin SV (BSV). We appreciate your patience and cooperation. https://t.co/35AhSAerJt
— Coinbase Assets 🛡️📞 (@CoinbaseAssets) February 3, 2024

Notably, it had already been announced that on January 9, 24, the business partnership between Coinbase and BSV would end. T

he cryptocurrency exchange warned users back in November to remove their BSV or risk having it liquidated and transferred to another digital asset. Many Coinbase users who own BSV were worried about potential additional taxes that might be incurred after the conversion.

As early as 2021, Coinbase removed the BSV token from its listing due to Craig Wright—one of the purported Bitcoin inventors—losing ownership of the BTC copyright. Since there had been several attacks on the token’s protocol at the time, Coinbase wasn’t the only exchange to take a position against it. At the time, prominent provider of digital asset services Binance similarly delisted Bitcoin SV.

Trend of Delisting in the Cryptocurrency Sector
Delisting underperforming tokens is quickly spreading throughout the cryptocurrency space, particularly when these assets face too many obstacles. Similar circumstances befell the token XRP, which was linked to Ripple, more than three years ago. In that instance, the coin was subject to regulatory obstacles.

When Ripple offered XRP as an investment contract, the US Securities and Exchange Commission (SEC) filed an enforcement action against the company. XRP is considered an unregistered security by the regulator. T

he announcement caused several exchanges, including Coinbase and Binance, to elect to delist the token, which had an impact on the coin’s market outlook.

Delisting BSV could force Coinbase users to go to other platforms that allow the coin, which would hurt Coinbase’s user base. Unexpectedly, despite the delisting news, BSV is up 2.7% at the time of writing to $72.74, indicating that the news is not having any adverse impact on the community.