Cryptocurrency Exchange Bitfinex Covers Losses Worth $850 Million With Tether Funds
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Per a recent announcement, The New York Attorney General’s office has said that Bitfinex has successfully recuperated losses worth $850 million from its reserve of Tether funds. The was announced in a press release on April 25th. Further, Attorney General Letitia James also mentioned that iFInex, the parent company of Bitfinex and Tether limited had purportedly violated the New York Law. James said,
“Our investigation has determined that the operators of the ‘Bitfinex’ platform, who also control the ‘tether’ virtual currency, have engaged in a cover-up to hide the apparent loss of $850 million dollars of co-mingled client and corporate funds. New York state has led the way in requiring virtual currency businesses to operate according to the law. And we will continue to stand-up for investors and seek on their behalf when misled or cheated by any of these companies.”
The filings also mentioned that Bitfinex also maintained a defensive stance against their losses, and did not reveal th figures. Moreover, the matter was further fuell when Tether and Bitfinex landed in a conflict regarding corporate transactions. Bitfinex has reportedly taken $700 million from Tether reserves to mask their losses and handle client withdrawals.
Published at Fri, 26 Apr 2019 06:32:53 +0000
