Coinbase Will Delist Wrapped Bitcoin (WBTC) on Dec. 19, 2024

Trading will be suspended across all Coinbase platforms, including Coinbase.com, Coinbase Exchange, and Coinbase Prime. While trading will cease, WBTC holders will still have access to their funds and the ability to withdraw them at any time.

Cryptocurrency exchange Coinbase will delist Wrapped Bitcoin (WBTC) on Dec. 19, 2024, over undisclosed failures to meet its listing standards.

In a Nov. 19 post on X, Coinbase stated, “We regularly monitor the assets on our exchange to ensure they meet our listing standards.”

Trading will be suspended across all Coinbase platforms, including Coinbase.com, Coinbase Exchange, and Coinbase Prime. While trading will cease, WBTC holders will still have access to their funds and the ability to withdraw them at any time. Coinbase has already limited WBTC trading to limit orders only.

The decision comes despite WBTC being the most popular Bitcoin wrapper, representing Bitcoin on other blockchains. According to DefiLlama, it holds over $13 billion in total value locked (TVL).

Earlier this year, BitGo, the custodian of WBTC's Bitcoin reserves, made headlines by granting partial control of WBTC's multisignature wallet to Hong Kong-based BiT Global.

The move sparked controversy, especially due to concerns about the involvement of Justin Sun and the potential misappropriation of collateral.

In response to Coinbase's decision, WBTC issued a statement expressing regret and urging Coinbase to reconsider.

“We have always been committed to providing the community with the most compliant, transparent, and decentralized BTC tokenization product,” the organization said.

Coinbase launched its own Bitcoin wrapper, Coinbase Wrapped BTC (cbBTC), in September. With $1.4 billion in TVL, cbBTC has gained traction as a competitor to WBTC.

Coinbase plans to introduce verifiable proof of reserves for cbBTC to address transparency concerns, following criticisms that it lagged behind other wrappers in this area.

The delisting decision comes as Coinbase CEO Brian Armstrong is set to meet with President-elect Donald Trump on Monday to discuss potential “personnel appointments,” according to The Wall Street Journal.

Trump's recent cabinet selections signaled a pro-crypto stance, with appointments like Robert F. Kennedy as Secretary of Health and Human Services and Elon Musk and Vivek Ramaswamy to lead the Department of Government Efficiency. All three have publicly supported crypto-friendly policies.

Among the names floated for Treasury Secretary is Howard Lutnick, CEO of Cantor Fitzgerald and a vocal Bitcoin advocate. Lutnick's firm has served as a custodian for Tether and supported the stablecoin's claims regarding its reserves, which include U.S. Treasuries, Bitcoin, and gold. Lutnick discussed these reserves during Bitcoin 2024 earlier this year.

Coinbase has reportedly been working with Trump’s transition team to facilitate dialogue between Armstrong and Lutnick. Ripple CEO Brad Garlinghouse and executives from Circle also engaged with Trump's team regarding personnel decisions, according to The New York Times.