If Bitcoin Cash isn't so valuable then why are exchanges stealing it? What the SEC should do about it in my opinion.

in bch •  7 years ago  (edited)

I'm so tired of people with lots of bitcoin squabbling over which is better Bitcoin or Bitcoin cash.
Because they got their Bitcoin cash for free they have no incentive for it to be a success, and as long as one of the chains continues which is highly likely it shouldn't really make much of a difference let the market decide.

That truth is that Bitcoin Cash is extremely valuable and because of that most exchanges have chosen to steal it. The easiest way to steal the BCH coin was was to simply say "we don't support that" and then not distribute the coin at the fork while secretly keeping the BCH coins that you were entrusted to and legally obligated to give to the true owners. The notable American exchange Coinbase no doubt was intending to do this and only under threat of lawsuit changed their minds and supposedly plan to distribute the coins in the new years, but no doubt users of that exchange feel that their coin has been stolen or at least assuming they get it eventually that it is being "held hostage".

However this post is not about Coinbase but is about my story with an even worse exchange. I have one bitcoin with a company in Panama called Havelock Investments. Not only have they stolen my bitcoin cash (because they don't support that and held my coin at time of fork), but as far as I can tell so far they have stolen my bitcoin as well! It' been one month now and the bitcoin is still "pending" and have not received it yet. Maybe they will send it to me before the next fork, maybe they are holding it until after then in spite of my request to withdraw so they can steal my next split coin also, or maybe they just never plan on sending it I really don't know at this point, I only know not only is my Bitcoin Cash being held hostage by a rogue exchange (or if we give them the benefit of the doubt then unacceptably slow exchange which take more than a month to withdraw a coin), but so is my Bitcoin!

Since the SEC (Securities Exchange Administration) has stepped up with their intention to start regulating the crypto space in the US, the first law I would like them to lay down is as follows:

IF AN EXCHANGE HOSTS A COIN AT THE TIME OF A FORK THEN THEY MUST PROVIDE SUPPORT FOR AND ALLOW WITHDRAWAL OF THE FORKED COIN WITHIN A CERTAIN TIME PERIOD (1 months of the fork I propose).

Will the SEC do something like this to actually protect the wealth of consumers from "Exchange Fork Theft" as has been so widespread with Bitcoin Cash, or will they just use their power to stifle innovation? Only time will tell. What do you think, should the SEC crack down on exchanges who refuse to give you your forked coin, or do you have some other solution? Has anyone else been the victim of "Exchange Fork Theft"? Please like this post and comment below.

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I'm feeling sorry for you, having your investments stuck while it is uncertain that you will ever get them back is horrible... I hope it is not TO much money? (As my advice always is, "only invest what you are willing to lose...")... I don't know or the SEC will make this specific kind of rules, but I definitely think this kind of "keeping funds as a hostage" is really anoying... Got this with my sia coin for a long period on poloniex... It drove me crazy 😵... Good luck!

That really sucks that they stole your coin like that. I am hoping that the SEC's decision adds some legitimacy to the exchanges and forces them to toe a straighter line. Personally, I am not against the recent regulations. Regulation isnt bad, over regulation is.

that's a great question. The world's top 121 wallets are not selling their Bitcoin Cash(BCH) either, in fact- they are accumulating more. Why?