Bitcoin BSV Investors Seek Reopening of 'Loss of Opportunity' Claim in $13,3 Billion Lawsuit Against Binance

Bitcoin BSV investors have pinned their hopes for a fair ruling on the UK Court of Appeal. They have requested a review of their claim that Binance’s April 2019 delisting of Bitcoin SV (BSV) cost them over $13 billion in potential value. They claim that BSV’s delisting has impacted the performance of their cryptocurrency investments.

The legal battle continues

In July 2024, the Competition Appeal Tribunal dismissed a key part of the complaint, in which these investors argued that the delisting resulted in a “lost growth effect” that prevented BSV from growing into a “top-tier” cryptocurrency. This particular claim is of significant financial significance to the investors; if the court were to find that BSV could have developed to the level of Bitcoin by July 2022, it would place a significant financial burden on Binance.

At the Court of Appeal on Thursday, the investors’ legal representatives argued that this “loss of chance” claim should be given serious consideration, given the “permanent and continuing diminution in value” caused by the delisting. John Wardell KC, one of the lawyers, said: “The delisting has caused harm which continues to this day. Without this delisting, BSV would have developed into a first-tier currency like Bitcoin.”

A high-stakes legal competition

During the preliminary hearing in July 2024, the Competition Appeal Tribunal delivered a mixed result: while not dismissing the case against Binance outright, it did agree that the “market conversion rule” applied. This means that most BSV holders were aware of the delisting and had the opportunity to convert their holdings into other cryptocurrencies.

However, the BSV investors’ lawyers argued that this rule is not a panacea in this case, as they were unable to mitigate their losses by trading for alternative cryptocurrencies. “There is no obligation to mitigate if the damaged asset cannot generate sufficient funds,” Wardell added.

Binance’s defenders, led by Brian Kennelly KC, argued the opposite. He argued that BSV was a tradable asset at all relevant times and could therefore be easily exchanged for Bitcoin or other cryptocurrencies.

A broadly supported lawsuit

The lawsuit against Binance is part of a larger class action against several exchanges that delisted BSV between April and June 2019, including Kraken:, ShapeShift and Bittylicious. The claims have been brought by BSV Claims Limited, a special purpose vehicle headed by Lord Currie of Marylebone. This is the first joint case in the UK relating to cryptocurrencies and competition law, primarily because the plaintiff alleges that the exchanges worked together in a conspiracy to delist BSV.

Ashley Fairbrother, a partner at law firm Edmonds Marshall McMahon, describes the case as “very extraordinary” with an equally remarkable backstory. Last year, the UK High Court found that Dr Craig Wright was not Satoshi and that he had committed fraudulent acts not only against investors but also against courts in England, Wales, Norway and the US.

“Basically, the BSV coin was created by a scammer who wanted to profit from his lies,” Fairbrother explained. “That explains why the community decided to delist BSV to limit its detrimental impact on Bitcoin development.”

Despite previous failed investor claims against exchanges, the chances of successful litigation remain challenging. Fairbrother points out that while legal action against exchanges is theoretically possible, the road to achieving it is fraught with obstacles. “Most major exchanges are implementing increasingly robust compliance and regulatory structures, making it increasingly difficult to successfully pursue claims.”

Frequently Asked Questions

Why did the investors re-file their claim with the Court of Appeal?
The investors want their “lost growth effect” claim to be reassessed, as they allege that Binance’s delisting of BSV cost them over $13 billion in potential value.

What is the role of the market conversion rule in this case?
The market conversion rule means that investors could have swapped their assets for other cryptocurrencies without suffering any damage. The court had previously ruled that most investors were aware of the delisting and had access to alternatives.

What about Craig Wright and his claims?
Craig Wright, the founder of BSV, has reportedly made fraudulent claims about his role as the inventor of Bitcoin. The UK High Court has determined that he is not the real Satoshi, a discovery that contributed to exchanges delisting BSV.