Wrapped Bitcoin (WBTC) experienced a flash crash to an all-time low of around $5,200 on the Binance stock market on November 23, 2023, due to an electronic glitch in the trading system. The crash did not affect the asset’s price on other exchanges. The price rebounded almost immediately and closed the day at around $97,000 on the Binance exchange.
This event occurred just days after Coinbase announced on November 19, 2023, that it would delist WBTC. Coinbase cited meeting exchange standards as the reason for the delisting. BiT Global, the custodian of WBTC, claimed that Coinbase’s decision to delist the asset was an attempt to gain a competitive advantage by promoting its own tokenized Bitcoin product, cbBTC.
Coinbase launched cbBTC in September 2024 in response to the controversy surrounding the Wrapped Bitcoin token escrow in multiple jurisdictions. The delisting also sparked backlash from the crypto community, particularly the former Maker community, now known as Sky, which voted to remove WBTC as trading collateral on their platform.
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<p>The post Wrapped Bitcoin Price Plummets Amidst Coinbase Delisting Controversy first appeared on CoinBuzzFeed.</p>
