Despite the Bitcoin Cash hardfork taking place since November 15th, 2018, cryptocurrency exchange Coinbase is yet to issue the holders of the coin their Bitcoin SV which was forked from it.
The hardfork of Bitcoin Cash which was initiated by Craig Wright and Calvin Ayre gave rise to a sidechain dubbed Bitcoin SV or “Satoshi’s Vision.” Following the hardfork, users who had funds in Bitcoin Cash chain will by right also have funds on the Bitcoin SV chain.
Poloniex had a pre-fork solution for its users
Amongst cryptocurrency exchanges, Poloniex which is owned by Circle led the way as it enabled allowed both pre-fork trading and a convenient way for users to be sure their coins would “split” properly on its platform. To take advantage of that, users had to deposit some funds in their Bitcoin Cash wallet before the split. Poloniex took care of the rest for its users. However, some traders took advantage of the situation to dump their Bitcoin SV coins even before it went live on its own blockchain.
A hash war followed the hardfork which led to Bitcoin ABC and Roger Ver retaining control of the “BCH” (Bitcoin Cash) ticker on most of the cryptocurrency exchanges. Calvin Ayre decided to end the war and proposed that neither of the two cryptocurrencies should make use of that unified name. Bitcoin ABC didn’t agree to this arrangement. This eventually led to exchanges looking to list both tokens name Bitcoin ABC as BCH while Bitcoin SV is dubbed Bitcoin SV.
Traders and investors on Coinbase holding Bitcoin Cash at the time of the hardfork are entitled to Bitcoin SV similar to how they were entitled to BCH during its hardfork from Bitcoin.
Coinbase delays Bitcoin SV withdrawals for users
Some users of the cryptocurrency exchange have complained that they are yet to be given their Bitcoin SV.
Coinbase on its part has issued multiple emails over the past few weeks assuring their users that they will receive their Bitcoin SV. However, they are yet to provide further details on how it intends to do that. Coinbase, however, pointed out that they will enable users to withdraw their funds anytime they wish to though they won’t be able to trade or deposit it.
Two weeks ago, an informant of CCN replied Coinbase stating that “I already read that generic update before I wrote you. Your team hasn’t updated us for five weeks since then. It is about time for a further update. Please provide something better than just rehashing what you already have on your website; we deserve better.”
Coinbase on their part replied by stating that “Thanks for contacting Coinbase Support. I understand the importance of your digital currency and thank you for your patience with us. I’ve taken a look at your case and am working with a specialist to address your issue properly. Please note that these reviews are typically completed within 5-7 business days. Thanks again for your understanding.”
Coinbase followed the reply with another one, noting that “Following the BCH hard fork and conclusion of the hash war, Bitcoin SV has confirmed the creation of a new coin, BSV. Coinbase intends to allow customers to withdraw BSV at a future date, though we do not currently intend to support trading, buys or sells. We will provide additional updates as they are available. We anticipate development work for BSV withdrawals will take at least a few weeks but may take longer.”
The informant frustrated with this feedback replied by stating that it has been seven weeks since the last update given to him which reads “We will provide additional updates as they are available. We anticipate development work for BSV withdrawals will take at least a few weeks but may take longer.” He believes that he is entitled to additional update on the issue because Coinbase has been adding new trading pairs but have done nothing to release the Bitcoin SV in their possession. He feels the situation is not acceptable. Coinbase on Wednesday, January 2nd provided a credible answer stating that “I understand your frustration and I wish that there was more than I could do. However, we will provide additional updates as they are available. We anticipate development work for BSV withdrawals will take at least a few weeks but may take longer.”
The information was given to the user after the second complained looked like the first one but with more details.
Coinbase users might not record gains from Bitcoin SV fork
The cryptocurrency has been available for weeks on multiple exchanges and wallet services, with some users already cashing out their wins after Bitcoin SV surged to an all-time high of USD 200. It has now dropped below the USD 100 mark.
Looking at the whole scenario, it would be safe to say that the Bitcoin SV market hasn’t been fully discovered since a large chunk of the funds is locked up with Coinbase. The platform has more than 10 million users, and it would most likely contain hundreds of thousands of Bitcoin SV coins.