In a note to users today, Coinbase announced that it has finally made Bitcoin SV balances available for withdrawal. Users have been complaining for months about their Bitcoin SV, which peaked shortly after launch at over $200. It has since then been in steady decline, and the announcement by both Coinbase and Waves Platform today that BSV balances will be made available might stimulate a dumping frenzy on the coin.
The note reads, in part:
“The competing chain, known as Bitcoin SV, resulted in a forked coin now commonly referred to as BSV. When the hard fork occurred, the BSV blockchain used the amount of BCH associated with an address at the time of the fork to determine the amount of BSV that would be allocated to the parallel address on the BSV blockchain. As such, the amount of BSV now available in your Coinbase.com account is the same as the amount of BCH that was in your Coinbase (Coinbase.com and Coinbase Pro) account at the time of the hard fork.”
Coinbase makes clear that they will not be facilitating the trading, buying, or selling of Bitcoin SV. The decision now seems set in stone. Importantly, the company has listed numerous altcoins over the past year, including things like the Basic Attention Token. Currently, actual fiat markets for BSV are limited, like many altcoins.
In January, we reported that a user had been asking about his Bitcoin SV with no definitive answer for weeks on end. As this reporter said then:
“It would seem that, given the high volume of users Coinbase has (over 10 million), the overall Bitcoin SV market has yet to fully discover its price if hundreds of thousands (potentially) Bitcoin SV coins have been locked away in Coinbase’s custody.”
Now comes the time to watch the Bitcoin SV market. A potential opportunity to buy artificially cheap BSV might be upcoming. Bitcoin SV recently exited the top 10.
Crypto markets stand a great deal on the principal. True believers are the anchors of any crypto economy. Bitcoin hodlers account for a hard limit to the amount of dumping that can actually take place. BSV hodlers may emerge with fistfuls of discount BSV as a result of new dumping – dumping that Coinbase will decidedly not be pursuing.
Could the sue-happy nature of Craig Wright and nChain be the reason for Coinbase’s aversion to BSV? While BSV is technically a public blockchain, it very much is the creation of Craig S. Wright and Calvin Ayre. As such, doing any business around it might be seen as risky when the demagogue constantly threatens legal actions.
Any of Coinbase’s 10 million+ users who held BCH at the time of the hard fork now have BSV. Another aspect to study moving forward will be the network activity of Bitcoin SV.
Featured Image from Shutterstock
Last modified: June 25, 2020 4:13 PM UTC