Coinbase Wallet, a prominent self-custody cryptocurrency wallet, has announced it will discontinue support for four major cryptocurrencies: XRP, Ethereum Classic (ETC), Stellar Lumens (XLM), and Bitcoin Cash (BCH). This change, effective from January 2023, is driven by low user activity for these assets on the platform. If you hold any of these cryptocurrencies in your Coinbase Wallet, it is crucial to understand the implications and take appropriate action to safeguard your investments.
Why Is Coinbase Wallet Removing These Cryptocurrencies?
The decision to drop support for XRP, ETC, XLM, and BCH stems from an internal evaluation of user engagement and asset utilization. Coinbase Wallet periodically reviews its supported assets to ensure it focuses on the most relevant and actively used cryptocurrencies. Despite the strong communities and historical significance of these four assets, they did not meet the threshold for continued integration within the wallet ecosystem. This move allows Coinbase to allocate resources more efficiently and enhance support for higher-demand digital assets.
How This Change Affects Coinbase Wallet Users
If you currently hold XRP, ETC, XLM, or BCH in your Coinbase Wallet, here’s what you need to know:
- Your Assets Remain Accessible: You will not lose your cryptocurrencies. Your funds are stored on the blockchain, not within the wallet itself. By using your recovery phrase (the 12 or 24-word seed phrase), you can access and manage these assets through other compatible wallets.
- Limited Functionality Within Coinbase Wallet: After January 2023, you will no longer be able to send, receive, or view balances for these specific assets directly through the Coinbase Wallet interface. Attempting to transact with them via Coinbase Wallet may result in permanent loss of funds.
- Proactive Measures Required: To continue actively using these cryptocurrencies, you must transfer them to an alternative wallet or exchange that supports them. Delaying this action could complicate future access or management.
Overview of the Delisted Cryptocurrencies
Each of the affected assets has unique characteristics and market positions:
XRP
XRP is the native cryptocurrency of the Ripple network, designed for fast and low-cost cross-border payments. It ranks among the top cryptocurrencies by market capitalization. Despite its removal from Coinbase Wallet, XRP has maintained significant market interest, partly due to ongoing developments in its regulatory landscape.
Ethereum Classic (ETC)
ETC originated from a fork of the Ethereum blockchain and emphasizes immutability and decentralized principles. It has a dedicated community but has experienced volatility in both value and user adoption over time.
Stellar Lumens (XLM)
XLM powers the Stellar network, which focuses on facilitating efficient international money transfers and financial inclusion. While technologically robust, its usage within Coinbase Wallet did not meet the platform’s thresholds for continued support.
Bitcoin Cash (BCH)
BCH is a fork of Bitcoin, created to address scalability issues and enable faster transactions. It remains a notable cryptocurrency but has seen reduced prominence compared to other Bitcoin derivatives.
Steps to Secure Your XRP, ETC, XLM, and BCH Holdings
To ensure uninterrupted access and management of your assets, follow these steps:
- Locate Your Recovery Phrase: Your seed phrase is essential for accessing your cryptocurrencies outside of Coinbase Wallet. Store it securely and never share it with anyone.
- Select a Compatible Wallet: Research and choose a reputable wallet that supports the specific cryptocurrencies you hold. Options include hardware wallets for enhanced security or software wallets for convenience.
- Initiate the Transfer: Move your assets from Coinbase Wallet to your new wallet before the January 2023 deadline. Always verify receiving addresses to avoid errors.
- Explore Exchange Alternatives: If you plan to trade these assets, consider transferring them to a cryptocurrency exchange that lists XRP, ETC, XLM, or BCH. Many global exchanges continue to support these cryptocurrencies.
- Stay Updated: Follow official announcements from Coinbase and other trusted crypto news sources for any additional changes or recommendations.
👉 Compare supported wallets for your assets
Frequently Asked Questions
Why is Coinbase Wallet discontinuing support for these cryptocurrencies?
Coinbase Wallet is removing support due to low user activity for XRP, ETC, XLM, and BCH on its platform. This allows them to prioritize resources for more widely used assets.
Can I still access my funds after support ends?
Yes, your assets are safe on the blockchain. Use your recovery phrase to access them through another wallet that supports these cryptocurrencies.
What happens if I don’t transfer my assets before the deadline?
You will not be able to manage or view your holdings within Coinbase Wallet. However, you can still access them later using your recovery phrase and a compatible wallet.
Are there fees for transferring these cryptocurrencies?
Yes, standard network fees apply when moving assets between wallets. These fees vary depending on blockchain congestion and the specific cryptocurrency.
Will this delisting affect the market value of these cryptocurrencies?
While exchange or wallet delistings can cause short-term price fluctuations, long-term value depends on broader market adoption, utility, and regulatory developments.
How do I choose a reliable alternative wallet?
Look for wallets with strong security features, positive user reviews, and support for the specific cryptocurrencies you hold. Hardware wallets are recommended for large holdings due to their offline storage.
Key Takeaways
- Coinbase Wallet will remove support for XRP, ETC, XLM, and BCH in January 2023.
- Users must transfer these assets to alternative wallets or exchanges to continue managing them.
- Always secure your recovery phrase and verify transaction details to prevent loss of funds.
- This change reflects the dynamic nature of the cryptocurrency industry and the importance of staying informed about platform updates.
👉 Explore step-by-step migration guides
Staying proactive and informed is essential in the evolving cryptocurrency landscape. By taking timely action, you can ensure a seamless transition and continued control over your digital assets.