Bitfinex and Poloniex launched trading for Bitcoin Cash forks

The Bitfinex exchange announced the opening of a market for tokens of the divided Bitcoin Cash network, the fork of which is scheduled for November 15th. Tokens are available for trading prior to release and are offered in USD and Bitcoin Cash trading pairs (BAB/USD, BAB/BTC, BSV/USD and BSV/BTC). And last week, Poloniex launched trading of two purported forks of Bitcoin Cash – Bitcoin Cash ABC (BCHABC) and Bitcoin Cash SV (BCHSV).

As it became apparent that the fork would result in two distinct Bitcoin Cash ABC and Bitcoin Cash SV networks, and as the BCH markets saw a significant increase in the number and volume of margin short positions, Bitfinex decided to take a network split approach to prevent the risk of manipulation and maintain a healthy market environment.

Bitfinex and Poloniex are now the only exchanges offering pre-release fork trading. According to experts, these tokens could raise questions from US regulators due to their speculative nature.

According to the US Securities and Exchange Commission, in speculative short selling, “the seller borrows or causes the borrowing of securities for a time insufficient to transfer the asset to the buyer within the standard three-day settlement period.” The SEC banned the practice of naked short selling in the United States in 2008 after the financial crisis.

An attempt to cash in on the Bitcoin Cash fork failed this week as traders and investors remain unsure whether the hash war represents an opportunity or a trap. The fourth-largest cryptocurrency is up less than 1% on the day at $528.01, giving it a market capitalization of $9.22 billion.

According to sludgefeed.com