UK authorities have taken legal action against six major cryptocurrency exchanges for their decision to delist Bitcoin SV (BSV) in 2019. The case, seeking $9 billion in damages for missed opportunities, sheds light on the legal complexities and financial stakes in the crypto industry.
The Competition Appeal Tribunal in the UK has begun proceedings against Binance Europe Services, ShapeShift, Kraken, Bittylicious, and related entities for delisting BSV in 2019. Each exchange has its legal team involved, with extensive documentation and multiple lawyers. The tribunal expects the proceedings to last three days.
Bitcoin SV, also known as “Satoshi’s Vision,” is a cryptocurrency that split from Bitcoin Cash in 2018. The split and subsequent delisting were a result of a community divide, with different firms and figures supporting various narratives and forks.
In 2019, major exchanges like Binance and Kraken delisted BSV, citing reasons such as behavior not aligning with their values and failing to meet standards. This led to controversy and confusion within the crypto community.
In response, BSV holders initiated a $12 billion class action lawsuit in the UK, claiming that they missed out on significant growth opportunities due to the delistings. This legal battle is ongoing and highlights the tension between regulators and crypto companies.
Similarly, an American law firm filed lawsuits against several exchanges and token issuers, accusing them of selling unlicensed securities and market manipulation. The lawsuits target prominent figures in the crypto industry and seek to hold them accountable for alleged misconduct.
These legal actions could set precedents in the crypto industry regarding securities offerings and jurisdictional responsibilities. The outcomes of these cases will have implications for the future of regulation in the cryptocurrency market.
The ongoing disputes between regulators and crypto companies underscore the challenges in navigating the evolving landscape of digital assets. The financial claims resulting from delistings and legal actions demonstrate the high stakes involved in the crypto industry.
