Earlier this year, as reported by Core Media, Coinbase and its Global Digital Asset Exchange (GDAX) revealed a new cryptocurrency inclusion framework. The company made it clear it plans to add new cryptocurrencies that meet certain criteria to its platform, and a new clue may point to Bitcoin Cash (BCH) being among the new additions.
On the r/btc and the r/BitcoinCash subreddits, various top threads detail that developers who were exploring Coinbase’s API found references to Bitcoin Cash. Users who held Bitcoin on August 1 this year got an equal amount of Bitcoin Cash at the time of the network split, and the company’s move essentially means the company is working on BCH support, presumably so that those who had their bitcoin on the platform will be able to withdraw the cryptocurrency, as per the company’s announcement on August 3.
— Carter Thomas (@carterthomas) December 17, 2017
However, some users have pointed out that the move may also mean Coinbase will add full support for Bitcoin Cash on its platform, which would be an extremely positive move for the cryptocurrency, given that Coinbase has over 10 million users and is one of the biggest U.S.-based exchanges.
Other users dismissed Coinbase’s API as evidence the company is going to fully support Bitcoin Cash, as some pointed out that when the Ethereum network split in two, Ethereum Classic (ETC) was also added to its API.
Moreover, Litecoin creator and former Coinbase employee Charlie Lee used Twitter to point out his stance on Coinbase’s move:
From my experience (no insider info) at Coinbase, I believe Coinbase will allow BCH withdrawal but will not list BCH trading on Coinbase by end of year. They did the same with ETC last year.
— Charlie Lee [LTC] (@SatoshiLite) December 16, 2017
In a subsequent tweet, Charlie Lee added that this doesn’t mean the cryptocurrency won’t be traded on GDAX, as it could be “quite profitable.” For BCH to be listed on Coinbase, per Lee’s tweet, it would need very good liquidity on GDAX as that’s where the coins would come from. As an example, he added that Litecoin was only added to Coinbase when liquidity existed on GDAX.
Lee went on to clarify that this is only in the operational side of things, as brand confusion may also be a factor. He stated: “Coinbase is targeted towards consumers. Having both Bitcoin and Bitcoin Cash will cause all sorts of issues.” At press time Bitcoin Cash is trading at $1,791.07, according to Cryptocompare, as the cryptocurrency’s value is seemingly not being affected by the rumors.
Nevertheless, various users remain bullish, taking into account that the company announced the addition of new cryptocurrencies, and that Bitcoin Cash withdrawal support is already going to be added to the exchange, trading pairs would be the next logical step. One user stated:
“Coinbase is supposedly going to be adding more cryptocurrencies next year, and they’re enabling BCH withdrawals, so I’d think it’s a good guess that BCH will come to Coinbase at some point in the future.”