Coinbase has finalized measures to phase out Bitcoin SV from its list of supported digital assets.
Originally rumored for November 2023, the delisting became official after Coinbase announced that it would no longer support Bitcoin SV (BSV).
In a post on I notified you that this happened.
The exchange also notes that the involuntary conversion process provides compensation, especially for those with minimal BSV holdings, given that trading fees and market volatility can completely erode asset value. Customers were also informed that this may not be the case.
Coinbase further warned that after the deprecation date, remaining portions of BSV will be removed and customers will no longer be able to withdraw them, effectively erasing any trace of BSV from their portfolios.
As reported by crypto.news, Coinbase was preparing users for this transition last November. The exchange sent an email to customers advising them to transfer their BSV holdings to external BSV-compatible wallets by the January 9 deadline.
It also warned users that after the deadline, they will no longer see BSV in their portfolios, but only the credited cryptocurrencies that reflect the conversion, minus any associated fees.
Notably, the exchange also warns users of possible tax liability and other tax implications arising from the liquidation process, and states that users are responsible for understanding and addressing their individual tax situations. I emphasized that.
BSV’s history, which began with the split of the Bitcoin Cash (BCH) network in 2018, has been marred by controversies such as security concerns and market volatility.
Its presence is waning, as evidenced by its removal from other exchanges, including Robinhood. Additionally, recent unrest, including the 2022 51% attack, has further destabilized BSV’s position.
The cryptocurrency is currently 85% below its all-time high. However, despite the delisting announcement, the trading volume recorded a significant increase of 102% in the past 24 hours, while the price increase was only 2.6% in the same period.