Crypto Company Takes Legal Action Against Coinbase Over wBTC Delisting
BiT Global, a key player in the wrapped Bitcoin (wBTC) ecosystem and associated with Justin Sun, has filed a lawsuit against Coinbase over its decision to delist wBTC.
This move came after Coinbase announced it would remove the asset from its platform starting December 2024, citing routine listing reviews. The timing of this decision coincided with the involvement of BiT Global as a custodian for wBTC, following BitGo’s decision to share custody of the token with other entities, including BiT Global.
In response to Coinbase’s delisting, BiT Global’s legal team argues that the decision is anti-competitive and violates both state and federal regulations. The lawsuit claims that Coinbase is deliberately hindering competition by removing wBTC just as it launches its competing product, cbBTC.
READ MORE: Japanese Lawmaker Urges Government to Consider Bitcoin for Foreign Exchange Reserves
Launched in September 2024, cbBTC is a similar tokenized Bitcoin product, with a market capitalization of over $2 billion, far smaller than wBTC’s current $13.4 billion valuation. The legal filing contends that Coinbase’s actions, coming after the increasing success of wBTC, are aimed at reducing competition by limiting its trade availability while pushing its own product.
While Coinbase maintains that it upholds strict listing standards and evaluates assets based on these criteria, BiT Global’s legal team points out the inconsistency in Coinbase’s actions, noting the platform’s recent inclusion of various “memecoins” while simultaneously delisting wBTC. The controversy highlights the ongoing challenges within the crypto space as platforms expand their offerings, sometimes clashing with the interests of existing projects.
Alexander Stefanov
Reporter at CoinsPress
Alex is Editor-in-Chief of Coinspress and co-founder of Millennial Media Group, with nearly a decade of experience covering financial markets - crypto first, then everything else. It started in 2016 with Bitcoin. Like most people at the time, he didn't fully understand it - so he kept digging. Blockchain, tokenomics, the projects, the cycles. That curiosity never stopped, and eventually pulled him into traditional markets too: equities, commodities, macro. Not because he left crypto behind, but because you can't properly understand one without the other. What drives him is straightforward: he wants to know why something is happening, not just that it's happening. Most market coverage stops at the headline - price up, price down, here's a chart. Alex finds that kind of reporting actively unhelpful. If you walk away from an article without understanding the mechanism behind the move, what did you actually learn? He holds a degree in Tourism from New Bulgarian University - not the most obvious path into financial markets, but markets have a way of pulling in people who are simply too curious to stay out. He has authored over 200 in-depth analyses and more than 10,000 articles across crypto and traditional finance. He still thinks every day in markets teaches him something new. That's probably why he hasn't stopped.
