Breaking: SBI Virtual Currencies delists Bitcoin Cash [BCH] in response to Binance’s Bitcoin SV
SBI Virtual Currencies, a licensed cryptocurrency exchange based in Japan, has delisted Bitcoin Cash [BCH] in a knee-jerk response to the recent delisting of Bitcoin SV [BSV] by Binance. Speculators suggest the Japanese exchange’s close ties to the BSV camp as the reason behind BCH being booted out.
As confirmed by an SBI press release, translated from Japanese, dated April 16, the
exchange stated that the “schedule for the abolition” of Bitcoin Cash is proposed for the end of the month. However, the date of withdrawal for the same is “planned” for June.
The Japanese exchange cited three main reasons behind the elimination of the fourth largest
cryptocurrency by market cap. Firstly, they mentioned the dwindling market cap of Bitcoin Cash, which, in the exchange’s opinion makes them susceptible to a “51 percent attack”. With reference to the same, SBI stated:
“This material is not part of the rules for the management system of virtual currency related information of Japan Virtual Currency Exchange Business Association.”
SBI highlights the effect on the exchange if Bitcoin Cash hard forks in the future. Back in November 2018, the coin forked into BCHABC and BCHSV resulting in a massive freefall in the global coin market which shaved over $100 billion of the collective market capitalization in less than a month.
According to the exchange, Bitcoin Cash holders can sell their coins by the end of April and by the close of May, the coins will be sent to a CooXWallet which will serve as a “customer-managed designated hardware wallet.”
Currently, BCH transactions via SBI have been “suspended,” however, custody sale transactions will continue. Later in the month, the remaining details with regard to abolition of sale, conversion rate and payment date will be disseminated.
Despite SBI citing market cap, vulnerability to a 51 percent attack and volatility of Bitcoin Cash as the main reasons for it to drop the coin, many on Twitter suggest a more personal reason. Koji Higashi, a Japanese cryptocurrency influencer and co-founder of IndieSquare Inc., suggested that the BCH delisting is due to the exchange’s close ties with nChain, the main spearhead behind BSV.