Justin Sun-connected BiT Global has filed a lawsuit against cryptocurrency exchange platform Coinbase regarding its decision to delist wrapped bitcoin (wBTC) and launch a similar product.

This announcement follows Coinbase’s plan to remove wBTC from its platform on December 19, 2024, as part of its ongoing review of listing standards.

The lawsuit alleges that Coinbase’s actions are anti-competitive and violate state and federal laws.

This comes in light of Coinbase’s introduction of its tokenized bitcoin product, cbBTC, which has a market capitalization exceeding US$2 billion.

In recent months, BiT Global became a key stakeholder in the wBTC ecosystem. wBTC, recognized as the largest tokenized version of bitcoin, has a market cap over US$13.4 billion and operates on ethereum and other blockchains.

Coinbase says its listing decisions follow strict standards, removing assets that do not meet these criteria.

However, BiT Global’s legal team argues that Coinbase continues to list other questionable assets while intentionally sidelining wBTC for competitive reasons.