Bitfinex Scandal-Beaten Exchange Officially Confirms IEO to Raise 1 Bln USDT

News
Wed, 05/08/2019 - 11:43
Yuri Molchan
🤦‍♂️💭Bitfinex exchange, which was recently caught up in a scandal in which it was spotted with Tether Ltd
Cover image via www.123rf.com
Contents

On May 8, Bitfinex platform published a white paper to confirm its intention for making a token offering (IEO) to raise $1 bln.

Bitfinex to issue its own tokens

Presently, authorities are scrutinizing Bitfinex due to charges of losing $850 mln of corporate and user funds and concealing the loss with USDT coins. Earlier, there were rumours in the media that Bitfinex was planning to offer investors its own coin to compensate for the $850 mln.

Now, by issuing an official whitepaper, the platform has confirmed this intention to emit 1 billion LEO tokens and sell each for 1 USDT. The IEO will last until May 11.

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Private and retail Bitfinex offering

Customers of the exchange will be able to use LEO tokens for different internal activities on the platform. Provided the whole 1 bln LEO is sold, Bitfinex will be able to replace the missing assets.

Until May 11, tokens will be for sale to private investors. Retail customers might be able to buy some afterwards – if Bitfinex fails to sell 1 bln LEO.

About the author

Yuri is a journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future. ‘Hodls’ cryptocurrencies. Has written for several crypto media. Currently is a news writer at U.Today, can be contacted at yuri.molchan@u.today.


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