The Bitcoin Cash fork war has been ongoing for a while now. The Bitcoin Cash ABC team is clearly ahead of the Bitcoin Cash SV team. Even before the fork started, the Bitcoin Cash SV team has been aggressive towards the Bitcoin Cash ABC team. At one point, the team threatened to manipulate the network and take full control of the blockchain. While there is still a lot of uncertainty in the air regarding this issue, Kraken saw it fit to warn users against the risks of trading Bitcoin Cash SV.
Risks Attached To Trading Bitcoin Cash SV
On Sunday, the American-based cryptocurrency exchange posted a blog about it. It’s important to note that the exchange has credited Bitcoin Cash SV tokens to its clients and launched trading in BCH SV. However, the blog post stated that this new Bitcoin cash fork doesn’t meet its requirements. It termed the investments made on this token as high risk.
Bitcoin Cash (BCH) Price Today – BCH / USD
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In the blog, the exchange highlighted some red flags traders should look out for. It also stated that no wallet has been created to support replay protection for Bitcoin SV tokens. The replay protection prevents transactions from occurring on Bitcoin Cash ABC and Bitcoin Cash SV blockchains at the same time.
Also, supply of BCH SV is currently constrained because of the unlimited wallet support with miners are currently mining at a loss. The blog also pointed out that the future of the Bitcoin Cash SV blockchain may be mutually exclusive because of the attitude of its representatives towards the industry as a whole.
The exchange said that many BCH SV token holders have said that they will most likely be dumping their tokens the first chance they get. The network split took place on the 15th of November after months of planning and fighting within the Bitcoin Cash ecosystem. Each camp was pushing for a different technical roadmap. So, with the support from miners, two new tokens were forked, BCH ABC and BCH SV.
Before the network split, the exchange said that it would only be listing Bitcoin ABC. However, the new information from the blog shows that the exchange will be listing Bitcoin SV as well. The blog post also talked about how it may not be able to pay back losses its users may suffer due to attacks on the BCH SV token. That part of the post was as follows:
“All Custodial losses that may be suffered due to an attack or attacks originating nChain and it affiliates will be socialized on Kraken. Because of the network’s volatile state, and the threats that were made, we cannot guarantee perfect custody of BSV”.
While both tokens have been listed on Kraken, it has not enabled deposits or withdrawals for either the Bitcoin ABC or Bitcoin SV token. It stated, in the blog post that it will enable trading when it believes it’s safe to do so.
Price Analysis For BCH SV and BCH ABC
At the time of writing, the BCH SV was trading at $56.94. Just like almost every other cryptocurrency, it is red against the USD. It is down by 35.90% against the USD and down by 24.16% against Bitcoin. The 24 hour trading volume is $106,364,468.
Main while, Bitcoin Cash ABC has been merged with Bitcoin Cash BCH on CoinMarketCapital’s list of largest cryptocurrency. Currently, BCH is trading at $240.27. It is down by 32.93% against the USD and down by 20.60% against Bitcoin. The trading volume over a 24 hour period is $123,608,858 and the market capitalization has fallen to $4,197,048,574.
