Coinbase Disables wBTC Trading After Landmark Victory
Highlights
- Coinbase said it will stop trading support for wBTC
- This decision comes after a controversial but brief legal battle with BiT Global
- The trading platform is still under scrutiny for its vague listing standards
American crypto trading platform Coinbase Global Inc. has announced it has disabled trading for Wrapped Bitcoin (wBTC). The top crypto exchange noted that despite this move, the product will still become accessible to users. The essence of this accessibility is that token holders can withdraw their funds at any time.
Coinbase To End the wBTC Era
As part of the announcement, Coinbase said it regularly monitors the assets on its exchange to ensure they meet its listing standards. The Brian Armstrong-led firm said it chose to delist wBTC based on its most recent review. The wBTC trading removal became effective from 12 pm ET.
The exchange said it suspended the wrapped Bitcoin token on its main platform Coinbase.com including the simple and advanced trading interfaces. It revealed that it took down trading support for the token on Coinbase Exchange and Coinbase Prime as well.
We have moved our wBTC order books to limit-only mode. Limit orders can be placed and canceled, and matches may occur.
If you have any questions regarding this update, please visit: https://t.co/aZsdyDqkAS
— Coinbase Assets 🛡️ (@CoinbaseAssets) November 19, 2024
As part of the measures toward the removals, the exchange noted that it has moved the token’s order books to limit-only mode. Coinbase reiterated that limited orders may be placed and canceled and matches may also occur. Unlike its standard delisting with defined withdrawal periods, the exchange said users will have access to their funds at any time.
A Controversial Business Deal
The wrapped Bitcoin token came into the spotlight last this week after a Justin Sun-linked firm responsible for its issuance BiT Global sued the exchange. BiT Global alleged that the exchange delisted the token to give competitive advantage to cbBTC.
In its response, Coinbase said its delisting stems from concerns over alleged market manipulation practices of Justin Sun. Despite what many considered “guilt by association,” the court sided with exchange, highlighting that it has a right to delist wBTC. The trading platform announced this delisting barely 24-hours after the favorable ruling.
Meanwhile, members of the crypto community have faulted Coinbase despite its victory in the case. Critics faulted the trading platform over its listing of memecoins over crypto projects with real utility. Many also considered its alleged listing standards to be vague, a series of allegations it has not directly addressed.
As a form of protest, Donald Trump-backed World Liberty Financial dropped cbBTC in favor of wBTC
- XRP to $9? Analysts Tip ‘XRP Is a Buy’ as Price Targets 200% Surge
- CZ Endorses Hyperliquid Rival Aster DEX, Token Rallies 1,500%
- Tom Lee’s BitMine Adds $84M in ETH as Expert Predicts Ethereum Rally to $5K
- Grayscale’s Crypto Index Fund Sees ‘Solid Start’ as SOL, XRP Institutional Demand Climbs
- Senate Democrats Urge Republicans for ‘True Collaboration’ to Quickly Pass CLARITY Act
- PUMP Price Forecast: Whale Buys 1B Tokens as Bullish Pennant Signals 65% Breakout
- Bitcoin Price Prediction: Analyst Highlights Breakout Patterns as Coinbase CEO Backs Crypto Structure Bill
- Dogecoin Price Prediction: Grayscale ETF Move Aligns With Cycle Breakout
- Chainlink Price Prediction: Whales Scoop 2M LINK as Analysts Eye 184% Breakout Rally
- Shiba Inu (SHIB) Price Prediction: Massive SHIB Burn and 80-Week Cycle Mirroring Past Rallies: Will History Repeat?
- Cardano Price Stays Above Ichimoku Cloud as Grayscale ADA ETF Approval Nears
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
