Cryptocurrency markets were plagued by fear, uncertainty and doubt over the Thanksgiving holiday amid declining prices and the aftermath of Bitcoin Cash’s hard fork. The chaotic situation led some pundits– like Peter Tchir of Forbes— to wonder whether or not cryptocurrency has “lost its luster.”
On the other hand, commentators like Barry Silbert, founder of Digital Currency Group, speculated that the price dips may present a “fantastic opportunity” to get in the game. Crypto fund manager Brian Kelly shared similar sentiments when he appeared on CNBC to talk about the current state of crypto markets.
If you’re wondering where to buy Bitcoin SV, keep reading. This guide covers all the major exchanges that list the newly forked cryptocoin.
What Is Bitcoin SV?
Simply put, Bitcoin SV is a fork of Bitcoin Cash, which is, in turn, a fork of the original Bitcoin blockchain.
What is a fork?
Any publicly available open source software product can be forked, or replicated and changed. In cryptocurrency, forks typically occur after a coin development team reaches a disagreement about how the blockchain should work.
The first fork of Bitcoin occurred in 2014, with the release of Bitcoin XT. Many other forks followed. Litecoin, Dash, Bitcoin Gold, Zcash, Decred and many other coins were derived from Bitcoin.
After Bitcoin, Litecoin is the most forked cryptocurrency. Its forks include coins like Monacoin, Litecoin Cash, CloakCoin, Einsteinium and others.
In mid-2017, Bitcoin developers decided to create a spin-off cryptocurrency that is faster and has lower fees than Bitcoin. They decided to call this new cryptocurrency Bitcoin Cash. The fork took effect on August 1st last year.
Last November 15th, two different development groups forked Bitcoin Cash: Bitcoin SV (Satoshi’s Vision) and Bitcoin ABC (Adjustable Blocksize Cap).
- Bitcoin SV. This group disagrees with changes made in Bitcoin Cash and are of the opinion that Bitcoin’s current developers have “tinkered it to death.” One of the group’s primary goals is to generate more revenue for miners. They rolled back changes introduced in Bitcoin Cash to make it more like the original Bitcoin protocol that Satoshi Nakamoto released in 2009.
- Bitcoin ABC. This group’s basic attitude is that “the fundamental design of Bitcoin Cash was sound” and didn’t require any major alterations. Adding smart contract functionality is the only major change they want to make to Bitcoin Cash. Other development goals are modest and include small changes designed to reduce transaction costs.
According to the Bitcoin Cash website, the original version of Bitcoin Cash is now compatible with Bitcoin ABC, Bitcoin Unlimited Cash, Bitcoin XT, bcoin, bitprim and BCHD.
How to Buy Bitcoin SV
Kraken is an American exchange led by cryptocurrency thought leader Jesse Kraken. He was called in to help clean up the mess when Mt. Gox– one of the very first cryptocurrency exchanges– collapsed into bankruptcy in 2014.
Though Kraken does currently let its customers trade Bitcoin SV, it recently posted the following warning about the new cryptocurrency in a blog post:
“WARNING: Bitcoin SV does NOT meet Kraken’s usual listing requirements. It should be seen as an extremely high risk investment.”
Kraken is notable for being one of the few exchanges that support both margin trading and fiat deposits. Tier 4 Kraken users can borrow as much as $500,000 USD. Another benefit Kraken is that it uses an automated ID verification service. This lets you start trading right within an hour or so after registering. In addition, Kraken offers low commissions and gives discounts to frequent and high-volume traders.
Bitfinex is a popular but controversial exchange led by an international team of leaders. It was founded in 2012, which makes it one of the oldest crypto exchanges on the market today.
After Bitfinex added support for both Bitcoin SV and Bitcoin ABC, it released the following update to its users:
“Both BAB and BSV are currently trading on Bitfinex – both against USD and BTC. Margin trading and funding for BSV and BAB is not currently available but may be offered at a later point in time upon stabilisation of the respective markets.”
Pros and cons
If you live in the United States, you can’t use Bitfinex anymore. The exchange pulled out of the US four months ago. But even if you can sign up for Bitfinex, you may want to read up on the exchange before you create an account. The New York Times and others have criticized Bitfinex for its spotty security record and opaque business practices. Last November, Bitfinex lost $30 million worth of cryptos to hackers. On the other hand, Bitfinex’s high volume markets, low fees and advanced features like over-the-counter trading and peer-to-peer margin trading have helped draw professional traders to its markets.
If you live in Canada, you can buy Bitcoin SV through Coinsquare– one of the country’s most well-known cryptocurrency exchanges.
Prior to the Bitcoin Cash hard forks, Coinsquare announced that it would support both Bitcoin SV and Bitcoin ABC in a blog post:
“As many of you know, there is a scheduled hard fork of Bitcoin Cash (BCH) set for November 15th, 2018. Coinsquare would like to confirm that we are able and willing to support both upcoming chains, ABC and SV.”
Pros and cons
Like Bitfinex, Coinsquare isn’t available in the US. However, features like low commission fees, native apps for iOS and Android and beginner-friendly “quick trade” feature for casual traders make it an attractive option if you happen to live in the Great White North.
Binance founder Changpeng Zhao didn’t let China’s cryptocurrency ban stand in the way of success. When the new rules kicked in in 2017, he took his business to the island nation of Malta. The following year, he found himself on the cover of Forbes magazine.
Two weeks ago, Binance announced in a blog post that it had delisted Bitcoin Cash. In its place, Binance added support for both Bitcoin SV and Bitcoin ABC. Binance traders that held any amount of the original coin prior to the fork benefited from the split. Note that Binance used a unique ticker symbol “BCC” to reference Bitcoin Cash:
“Binance has completed the distribution of both Bitcoin Cash ABC (BCHABC) and Bitcoin Cash SV (BCHSV) to all eligible users. BCHABC and BCHSV balances were each distributed to users in a ratio of 1 BCC = 1 BCHABC and 1 BCC = 1 BCHSV, based on the snapshot of all Bitcoin Cash (BCC) balances taken at 2018/11/15 4:40:00 PM (UTC).”
Pros and cons
Though Binance is somewhat inconvenient due to the fact that it doesn’t accept any government-issued currencies, its commission fees are extremely low. In addition, its high-volume markets reduce the time needed to close buy or sell orders. Another perk: Binance supports hundreds of obscure and small-market coins.
US-based crypto exchange Bittrex was founded by three developers that met while working at Microsoft. Bittrex disabled new account registration last year while it worked on system upgrades, but it reopened again in April with an improved interface and support for international customers.
Bittrex announced that it would support Bitcoin SV via Twitter:
“New Market Update: The USDT-BSV and ETH-BSV markets are now open for trading on @BittrexExchange.”
Pros and cons
The main downside of Bittrex is that its commission fees are somewhat high compared to other crypto exchanges. On the other hand, Bittrex supports a huge amount of coins and recently started accepting fiat deposits.
Musician Tristan D’Agosta started Poloniex as a side project, but after it gained popularity he sold it to crypto finance behemoth Circle Internet Financial. Though the amount of money involved in the deal was never officially released, Fortune estimated that Circle paid $400 million.
Poloniex announced its Bitcoin Cash fork plans via Twitter:
“We’ve finished converting all BCH balances to BCHABC and BCHSV. The BCH market is now disabled. BCHABC/BTC, BCHSV/BTC, BCHABC/USDC, and BCHSV/USDC markets are open. Deposits and withdrawals of BCHABC and BCHSV are still paused, and will remain paused until the networks stabilize.”
Pros and cons
Like Binance, Poloniex doesn’t accept any type of government-issued currency. This makes it somewhat of a hassle to use. However, the benefit is low fees. Commissions start at 0.1% and drop all the way down to zero, depending on your 30-day trading history as well as what kind of order you place.
Though nobody knows for sure who’s behind Hong Kong-based HitBTC, it is nevertheless one of the most popular crypto exchanges in the world. Like Binance and Poloniex, HitBTC doesn’t accept fiat deposits.
HitBTC used Twitter to notify its customers that it would support both Bitcoin ABC and Bitcoin SV:
“We are glad to announce the official support for the upcoming Bitcoin Cash hard fork! Pre-fork trading for Bitcoin Cash ABC (BCHABC) and Bitcoin Cash SV (BCHSV) will be available starting today, 9 November.”
Pros and cons
The main advantage of HitBTC is that the exchange has not only low commissions, but also commission rebates on some types of trades. In addition, HitBTC is one of just a handful of exchanges that supports margin trading. However, HitBTC’s withdrawal fees are high compared to the competition.
Cobinhood– a new crypto exchange that’s headquartered in Taipei– reeled in over $10 million during its Initial Coin Offering and an additional $20 million during a venture capital funding round.
Cobinhood announced its plan for supporting both Bitcoin SV and Bitcoin ABC on its website:
“The BCH hard fork will result in 2 different BCH coins. Deposits, withdrawals and trading function of ABC (BCH) trading will be conducted on 20th November 0:00 (UTC+0). Deposits and withdrawals function of SV (BCHSV) will be live on 23rd November 0:00 (UTC+0).”
The main advantage of Cobinhood is that it doesn’t charge commission or withdrawal/deposit fees. Instead, Cobinhood generates revenue with margin trading fees and through its underwriting service. Cobinhood took some heat from the cryptocurrency community for offering special backroom deals to Jamie Foxx and its other celebrity endorsers. However, rather than deny that these deals took place, Cobinhood CEO Pop Chen issued an apology and admitted that this was a bad move for the exchange.
What’s the Best Way to Buy Bitcoin SV?
If you’re a casual or beginner trader and you want to buy Bitcoin SV, the all-around best option is Kraken. Kraken has a strong security record and reasonable fees. In addition, Kraken accepts US dollar deposits and several other government-issued currencies, including Canadian dollars and euros.
For frequent traders
If you already own some Bitcoin or you have some trading experience, you may want to consider buying through an exchange that only supports cryptocurrencies and doesn’t accept fiat money. Exchanges like Binance and Poloniex are more difficult to use because you have to go through multiple steps and use 3rd party services to cash out. On the other hand, their extremely low commission fees make these types of exchanges attractive to frequent traders.