GDAX plans to temporarily suspend bitcoin deposits/withdrawals on Aug 1st

Global Digital Asset Exchange (GDAX) has recently provided a statement on the Bitcoin UASF situation on August 1st. GDAX is US-based cryptocurrency exchange Coinbase’s professional oriented platform including margin trading.

The activation of UASF may create two blockchains. Should this occur, there are two likely outcomes:

1. One blockchain becomes dominant, resulting in the other blockchain having low community adoption and value.
2. Both blockchains are adopted, coexisting and operating independently of one another with roughly equal community adoption and value.

In either scenario, GDAX stated that they will implement safeguards to ensure the safety of client funds. For example, the exchange will temporarily suspend the deposit and withdrawal of bitcoin and may pause the trading of bitcoin as well.

GM of GDAX, Adam White, said:

“This decision will be based on our assessment of the technical risks posed by the fork, such as replay attacks and other factors that could create network instability. We support the growth and scaling of the Bitcoin network, and look forward to working with others in the community to safely handle this event.”