Major U.S. cryptocurrency exchange Kraken confirmed in a blog post Nov. 18 that it had begun supporting both forks of Bitcoin Cash, while warning traders about "Many red flags."
Kraken, which initially said it would only support only one of the two BCH chains - Bitcoin Cash ABC - has at press time already launched trading of its counterpart chain, Bitcoin Cash SV. The product of a contentious hard fork of the BCH network Nov. 15, Bitcoin Cash SV currently sits at the center of controversy over BCH miner coercion, with major proponent Craig Wright and his company nChain determined to corner the hash power market.
Neither chain appeared to be in a position of strength Monday, with BCH prices dropping and cryptocurrency commentators such as BitTorrent founder Bram Cohen openly criticizing both the ABC and SV camps.
"It should be seen as an extremely high risk investment. There are many red flags that traders should be aware of."
"Custodial losses taken on due to attacks originating from nChain or its affiliates will be socialized among all BSV holders on Kraken. Given the volatile state of the network and threats that have been made, Kraken cannot guarantee perfect custody of BSV.".
As Cointelegraph previously reported, many major exchanges have opted to halt BCH trading indefinitely in order to gauge the longer-term health of the two competing chains.
The impact of the hard fork meanwhile continues to play out across cryptocurrency markets.
Bitcoin shed around 5 percent in the 24 hours to press time, while altcoin markets sustained heavier losses, Ethereum dropping over 11 percent to reach its lowest price since July 2017.
Kraken is currently the world's 17th largest crypto exchange by daily trade volume, seeing about $172 million in trades over the past 24 hours.
Kraken Begins Bitcoin Cash SV Trading but Says Users Face 'Extremely High Risk'
Published on Nov 19, 2018
by Cointele | Published on Coinage
Coinage
Mentioned in this article
Recent News
View All
Blockchain Bites: Bitcoin's Run, Uniswap's Hemorrhaging Value, Anchorage's Banking Bid
Bitcoin is nearing all-time highs in price and market cap last set three years ago.
Japan's megabanks to lead experiment with digital yen
We have, in order, Cheese Bank with a $3.3 million theft, Akropolis with its $2 million loss, Value DeFi with a whopping $6 million exploit and finally Origin Protocol's loss of $7 million.
Number of new Bitcoin addresses spikes amid growing FOMO
Japan's three largest banks, as part of a group of 30 private sector actors, are set to collaborate on an experiment with a digital yen.
Not just Wall Street: Quant trader explains why Bitcoin price is going up
Sam Trabucco, a quantitative trader at Alameda Research, believes four general factors are pushing up the price of Bitcoin.