Coinbase has filed its response to BiT World’s lawsuit over the delisting of Wrapped Bitcoin (WBTC).
Justin Solar-advised BiT World’s authentic lawsuit centered round Coinbase’s choice to delist WBTC. The custody supplier alleged that this was an unfair assault on its status that might probably result in it shedding “more than $1 billion in its market valuation.”
It moreover alleges that Coinbase was trying to monopolize the tokenized bitcoin (BTC) area to favor its personal product, Coinbase Wrapped Bitcoin (cbBTC).
BiT World is looking for an order that will obligate Coinbase to relist WBTC.
Learn extra: Justin Solar-advised HTX has redeemed 7,300 WBTC it didn’t disclose
In its response to the lawsuit, Coinbase took goal at Solar. It identified that the choice to delist WBTC was centered round a perception that there was an “unacceptable risk that control of wBTC would fall into the hands of Justin Sun.”
Coinbase’s submitting additionally famous that BiT World “refused to answer” questions “about who ultimately owned and controlled BiT.”
Moreover, the trade famous that it makes up “less than 1% of transactions involving wBTC,” suggesting BiT might have been exaggerating the potential hurt to its enterprise from this delisting.
Learn extra: Justin Solar has 99 issues and WBTC is 2 of them
The submitting additionally challenges the reputational harms recommended by BiT World, declaring that “long before Coinbase took any action,” the market already began to react to the change in WBTC. In line with Coinbase, this implies “any diminished trust in wBTC was caused by its association with Mr. Sun — not by Coinbase.”
Displays connected to the filings and declarations additionally immediately requested BiT World about Solar’s different tokenized BTC undertaking, which is obtainable by Poloniex and for which he refuses to verify collateral.
BiT wasn’t capable of confirm the collateral of this different product.
Acquired a tip? Ship us an e mail or ProtonMail. For extra knowledgeable information, observe us on X, Instagram, Bluesky, and Google Information, or subscribe to our YouTube channel.
