Coinbase, one of the leading cryptocurrency exchanges, made the decision to cease support for Bitcoin SV (BSV) amid controversy and disagreements within the cryptocurrency community. This move had significant implications for the future of BSV and showcased the influence that cryptocurrency exchanges can have on the market.
Bitcoin SV is a cryptocurrency that was created through a hard fork of Bitcoin Cash (BCH) in November 2018. The hard fork was led by Craig Wright, an Australian computer scientist who claimed to be Bitcoin's pseudonymous creator, Satoshi Nakamoto. BSV aimed to increase the block size limit and maintain what it considered to be the original vision of Bitcoin.
The controversy and rifts within the cryptocurrency community surrounding BSV were primarily related to Craig Wright's claims about being Satoshi Nakamoto and his legal actions against those who publicly disagreed with him. Additionally, some in the crypto community saw BSV as being at odds with the principles of decentralization and open-source development that underpin many cryptocurrencies.
In April 2019, Coinbase announced its decision to support BSV trading on its platform, but this move was met with significant backlash and criticism from parts of the cryptocurrency community. The controversy surrounding BSV continued, leading to the delisting of BSV from several cryptocurrency exchanges and platforms.
On April 15, 2019, Coinbase officially decided to cease support for BSV trading, citing concerns about the behavior of its proponents, the lack of regulatory clarity, and the potential for fraudulent claims. This decision had a substantial impact on BSV's price and trading volumes.
Coinbase's move to delist BSV is an example of how cryptocurrency exchanges can shape the market by making decisions about which assets they support. Such actions can lead to increased volatility and debate within the cryptocurrency community. It also highlights the importance of regulatory and compliance considerations for exchanges when listing and maintaining support for specific cryptocurrencies.