Coinbase will delist Wrapped Bitcoin (WBTC) next month

Coinbase will delist Wrapped Bitcoin (WBTC) next month

By Charles Thuo - min read
Coinbase will delist Wrapped Bitcoin (WBTC) on December 19, 2024
  • Coinbase will delist WBTC on December 19, 2024, due to unmet listing criteria.
  • WBTC will be moved to limit-only mode, with withdrawals still accessible.
  • Coinbase’s cbBTC, launched in September, has been gaining market share in wrapped Bitcoin.

Coinbase, one of the largest cryptocurrency exchanges, has announced it will delist Wrapped Bitcoin (WBTC) from its platforms on December 19, 2024.

The decision will affect all Coinbase services, including Coinbase.com, Coinbase Exchange, and Coinbase Prime, and comes amid ongoing assessments of the exchange’s listing standards.

As part of the transition, WBTC order books have been switched to limit-only mode. This allows users to place, cancel, and match limit orders but restricts other trading functionalities.

Despite the suspension of trading, Coinbase assured users that WBTC holdings would remain accessible, and withdrawals could be made at any time.

WBTC doesn’t meet Coinbase listing criteria

In its statement, Coinbase noted that the move was a result of its latest review, which suggested Wrapped Bitcoin (WBTC) no longer meets its listing criteria.

While no specific reasons were disclosed, the announcement emphasizes Coinbase’s commitment to maintaining regulatory compliance and providing high-quality assets for trading.

Notably, the delisting comes just months after Coinbase launched its own wrapped Bitcoin token, Coinbase Wrapped Bitcoin (cbBTC).

Introduced in September 2024, cbBTC is an ERC-20 token fully backed 1:1 by Bitcoin held in Coinbase’s custody. It offers integration with decentralized applications (dApps) across networks like Ethereum, Base, and Solana.

CbBTC has quickly gained traction, reaching a market capitalization of $1.3 billion and a circulating supply of over 15,000 tokens. The majority of cbBTC tokens—82%—are on Coinbase’s Base network, with the rest distributed across Ethereum and Solana.

The rising popularity of cbBTC positions it as a strong competitor to WBTC in the DeFi ecosystem.

Wrapped Bitcoin (WBTC) team surprised by the move

In response the WBTC team has expressed surprise and disappointment over Coinbase’s decision to delist the asset, reaffirming their dedication to compliance, transparency, and decentralization.

In a statement, they emphasized the robust governance, secure custody processes, and regulatory adherence of their product, positioning WBTC as the most decentralized wrapped BTC solution available.

The WBTC team urged Coinbase to reconsider its decision, offering to provide additional information or clarification to resolve any concerns.