- As per the exchange, this move was taken due to low utilisation of the four blockchain networks.
- Coinbase stated that its decision does not imply that users’ assets will be lost; rather, unsupported assets will remain linked to users’ addresses.
Coinbase Wallet, a notable cryptocurrency exchange platform, has officially confirmed that it will no longer continue to support XRP and three other tokens as of December 5th, 2022.
Along with XRP, the three tokens are Bitcoin Cash, Ethereum Classic, and Stellar. As a result, Coinbase will discontinue support for all four coins on the same date. Jed McCaleb, who also co-founded Ripple, founded Stellar XLM. With a market cap of $2.26 billion, it is the 25th largest crypto asset.
It is worth noting that the pronouncement has not yet had a significant effect on the price performance of these network tokens.
The team set December 5, 2022 as the closing date for discontinuing support for all the above mentioned cryptocurrencies. The community is in a state of panic as a result of this news, which is rather understandable and genuine.
However to ease public tension, Coinbase has asserted that users will, however, still be capable of accessing their holdings in these assets via the Coinbase Wallet recovery phrase.
Coinbase has advised users to double-check and be sure of the fact that Coinbase Wallet supports the network from which they are expecting to receive assets, or they will be unable to access these assets.
The Coinbase Wallet recovery phrase will still allow access to unsupported tokens, according to the statement. However, any activities undertaken with unsupported tokens after the December 5th deadline will result in losing them altogether.
Because of the platform’s withdrawal of support, the four tokens will no longer be able to access dApps and their supported networks. Furthermore, the change reduces the number of platforms available through Coinbase.
Coinbase, on the other hand, supports a wide range of networks. Ethereum and EVM-compatible networks, Polygon, BNB Chain, and Optimism are among them. It accepts thousands of tokens, along with all ERC-20 tokens as well as tokens on EVM-compatible chains like Avalanche C-Chain and Polygon.
This includes stablecoins (such as USDC and DAI) on all networks supported by Coinbase Wallet. Tokens hosted on the Solana Network are also supported by Coinbase Wallet.