A prolonged legal battle concerning several cryptocurrency exchanges delisting a specific token in 2019 is still unfolding after five years, with United Kingdom authorities initiating proceedings against six companies. The U.K.’s Competition Appeal Tribunal commenced a hearing on June 5 against six exchanges that removed the forked cryptocurrency Bitcoin SV (BSV) from their platforms in 2019. Among the defendants are some of the world’s major crypto exchanges, including Binance’s European division, Binance Europe Services. Other notable defendants in the case include Erik Voorhees’ crypto exchange ShapeShift, Kraken (represented as Payward), the Bitcoin exchange Bittylicious, and associated entities.
Based on information from BitMEX Research, each of the six defendants has their own legal representation, leading to a considerable contingent of lawyers involved in the case and a substantial volume of documents. The tribunal projected that the collective proceedings order (CPO) is expected to span three days.
Bitcoin SV emerged as a distinct blockchain and cryptocurrency following a split from Bitcoin Cash (BCH) in 2018. The name Bitcoin SV stands for “Satoshi’s Vision” and was created by a blockchain development firm linked to Craig Wright, who falsely claimed to be Bitcoin’s anonymous creator, Satoshi Nakamoto. The schism within the Bitcoin Cash community caused significant division, with various companies and key figures promoting their own versions of the narrative. Well-known actors like Roger Ver, Bitmain, and exchanges such as Binance and Coinbase reportedly backed another forked coin, Bitcoin ABC.
The delisting of BSV by exchanges like Binance, Kraken, and ShapeShift in 2019 was a significant scandal, which is now being revisited by the class action lawsuit. Back in April 2019, these exchanges gave little to no explanation for their decision to delist the token. For instance, Kraken stated that BSV’s conduct was “completely antithetical” to everything at Kraken and within the broader crypto community. Kraken even conducted a poll on its platform in 2019, indicating that BSV was regarded as “toxic.” Similarly, Binance offered minimal details about why BSV no longer met its standards when it decided to delist the token in 2019.
In 2022, Binance, Kraken, and other exchanges found themselves facing a $12 billion U.K. class action lawsuit over the BSV delisting. The lawsuit, brought by the plaintiff group BSV Claims, demanded compensation for the delistings. According to the plaintiffs, those who held BSV after the 2019 delistings missed out on considerable growth opportunities, and as such, they are seeking $9 billion in compensation for the damages incurred.
The legal proceedings surrounding this case are expected to be extensive, given the complexity and the number of parties involved. The courtroom is set to witness an intricate legal dance as the exchanges put forth their defense against the allegations and justify their decisions made five years ago.
This case is a significant marker in the cryptocurrency landscape, highlighting the regulatory and legal challenges that continue to emerge as the industry evolves. As the tribunal progresses, it will offer crucial insights into how legal frameworks might adapt to better manage and govern the relatively nascent and often volatile world of digital currencies.
The outcome of this legal battle will not only influence the involved parties but could also have broader implications for the cryptocurrency market, potentially setting precedents for future disputes and regulatory measures in the rapidly developing digital asset space.
Honestly, the exchanges handled the BSV delisting so poorly. Now look at this mess!
Five years and still no resolution? This is absurd. These exchanges should be held accountable already!
This case is a mess. The exchanges should have been more transparent about the delisting in the first place!
This whole thing is just a reminder of how unregulated and unpredictable the crypto world still is.
What a mess. Five years and they’re still battling it out in court? Crypto really needs better regulation! 📉💡
The outcome of this case will set a precedent for how similar crypto disputes might be handled in the future. Game-changing! 🎯
This case could be the seed that grows into more refined crypto regulations globally. Interesting times ahead!
Legal fights like these are just a huge turnoff for potential investors. This needs to be sorted ASAP!
Such a historic case! This is going to be a reference point for years in the crypto and legal communities. 📜
A landmark case that will undoubtedly influence future crypto regulations and lawsuits. Exciting times for the digital asset community! 🚀
Its amazing to think that decisions made five years ago are still resonating today. Crypto history in the making!
With the CPO expected to span three days, its going to be an intense legal marathon!
Five years and still counting! Shows how complex and evolving the crypto landscape is. Excited to see what this means for future digital assets.
It’s ridiculous that it’s taken this long to get to a hearing. The exchanges need to own up to their actions.
So much for transparency in the crypto world. Five years and they still can’t give us a straight answer!
Five years in, and it’s still just a tangled web of legal jargon and document filing. Wheres the accountability?