Coinbase will delist wrapped Bitcoin (WBTC) due to unmet compliance standards, halting trading but keeping user funds accessible.
Recently, Coinbase disclosed that the bundled Bitcoin (WBTC) pairs would be delisted imminently. This decision was made in response to a review of the platform’s asset listing standards, which may have been noncompliant. Consequently, users will still have access to their funds; however, transacting with WBTC will be rendered impossible.
Details regarding the delisting
The cryptocurrency market is expected to be significantly affected by the delisting, which is scheduled to take place hours after Coinbase’s announcement. It is unclear whether Coinbase is taking this action to accommodate its own encapsulated BTC, cbBTC, or to address genuine compliance concerns. According to the official statement of the exchange, the delisting was the consequence of failing to satisfy the listing criteria.
Market Influence
WBTC could experience a substantial decrease in its market presence if other exchanges emulate Coinbase’s approach. Coinbase underscored the significance of consistent surveillance to guarantee that its asset listing standards are adhered to. The ongoing scrutiny that cryptocurrencies encounter on centralized exchanges is underscored by this announcement.
“We regularly monitor our assets to ensure they meet our listing standards. Based on our latest review, Coinbase will suspend trading for wBTC on December 19, 2024, around 12:00 PM ET. Your WBTC funds will remain accessible, and you will have the ability to withdraw them at any time.”
“WBTC will only be available in limited mode on our order books. Limit orders can be placed and canceled, and matches can occur.”
