Robinhood announced that it will no longer support Bitcoin SV as of January 25, sending the crypto sinking by around 10%.
Robinhood emailed a statement to all its users stating that it has decided to end support for Bitcoin SV (BSV). The trading platform said it made the decision after a periodic review of the cryptocurrencies offered by the platform.
Robinhood advised its customers to sell or, if possible, transfer their BSV by the January 25 cut-off date. After the deadline, the trading platform said it would sell any remaining BSV at market value and credit customers’ accounts.
BSV dropped significantly after the Robinhood announcement around 1 pm CET. The crypto fell from just over $44 to a low of $37.75 in three hours. Although it has been up a bit since then, BSV is still trading below $40 and is down 11% in the last 24 hours.
Robinhood shares SBF
Meanwhile, a significant portion of the trading platform is caught up in the ordeal of former FTX boss Sam Bankman-Fried. Last year, he bought 56 million Robinhood shares, a 7.6% stake in the company, for $648 million.
Despite his previous promises to indemnify his former customers, Bankman-Fried insisted on keeping his Robinhood shares to pay his legal fees. However, the US Department of Justice recently confirmed that they had seized his 55 million shares.
Topcripto has reached out to a company or individual involved in the matter for an official statement on the recent developments, but has yet to hear back.