A long-standing legal challenge has resurfaced, with Bitcoin SV (BSV) proponents renewing their efforts to sue the prominent cryptocurrency exchange Binance. This revival centers on a multi-billion dollar claim tied to the controversial delisting of BSV in 2019, an event investors argue had catastrophic consequences for the asset’s market trajectory.
Renewed Push for $13 Billion Lawsuit
Investors in Bitcoin SV are determined to reopen a lawsuit originally filed in 2019 against Binance. The core of their argument is that Binance’s decision to remove BSV from its trading platform inflicted severe financial losses upon token holders and unfairly prevented the cryptocurrency from achieving its market potential. Consequently, the plaintiffs are seeking substantial compensation, reportedly amounting to $13 billion.
Legal representatives for the claimants believe that a prior ruling by the UK’s Competition Appeal Tribunal, which had previously dismissed a “loss of chance” argument related to BSV’s potential growth, warrants reconsideration. In this renewed attempt, the investors are asserting that Binance’s actions constituted a breach of competition principles.
Binance’s Stance and Market Consequences
Binance has previously stated that the delisting of BSV occurred because the asset failed to meet the exchange’s prevailing standards. Following Binance’s move, several other major cryptocurrency exchanges also delisted BSV. According to the plaintiffs, this coordinated delisting severely damaged the token’s prospects.
In the period since these events, Bitcoin SV has encountered significant operational challenges, including 51% attacks and a decline in its network’s computing power. The coin struggled to capture a meaningful share of the cryptocurrency market and has largely remained in a prolonged downward price trend.
Market Reaction and Potential Precedents
News of the renewed attempt to pursue legal action against Binance triggered a notable, albeit temporary, surge in BSV’s price. Data from CoinMarketCap indicated that the token’s value jumped by over 15% to reach $44.15, before experiencing a correction that brought it down to approximately $41.9. The asset’s market capitalization currently stands at around $830 million.
While the lawsuit has not yet been formally reinstated, legal experts for the plaintiffs suggest that if the case proceeds and is successful, the potential $13 billion compensation could establish a significant precedent. Such an outcome might influence the listing and delisting policies of centralized cryptocurrency exchanges globally. Bitcoin SV itself originated as a hard fork of Bitcoin Cash, which in turn was created following debates within the Bitcoin community regarding scalability. Despite its lineage, BSV has not managed to replicate the market success of its predecessors.
Chris brings over six years of hands-on experience in cryptocurrency, bitcoin, business, and finance journalism. He’s known for clear, accurate reporting and insightful analysis that helps readers stay informed in fast-moving markets. When he’s off the clock, Chris enjoys researching emerging blockchain projects and mentoring new writers.