Bitfinex can launch IEO next week.

May 1, 2019

Bitfinex can launch IEO next week.

The Bitfinex cryptocurrency exchange that has recently become the focus of attention may start its tokensail as early as next week. It is reported by Coindesk, citing investor approval Bitfinex Zhao Dong.

According to him, only qualified foreign investors will be admitted to IEO, information about which appeared this week. To do this, they will need to contact him personally or with the investment firm DGroup, headed by Dong.

After studying the white paper of the project, interested investors will have to make a deposit in the amount of 10% of the declared share.

A total of 1 billion tokens, worth $ 1 each, are planned to be released during IEO. In this case, the minimum amount of investment will be $ 1 million.

Dong also added that the sale of tokens will be carried out in turn. Moreover, if by preliminary subscription it is possible to distribute the entire billion tokens, the placement will remain closed.

The tokens from Bitfinex will be a kind of hybrid model Binance Coin, released by the Binance exchange, and BFX, which Bitfinex itself released in 2016 against the funds that were lost as a result of the hacking, in the following year.

Nevertheless, it is not entirely clear how exactly Bitfinex will use the funds raised. Presumably, with their help, the Hong Kong Stock Exchange intends to compensate for the frozen $ 850 million.

Recall, last week, the prosecutor’s office in New York City accused Bitfinex of concealing a loss of $ 850 million, using to cover the damage the funds of its affiliate issuer steyblecoin Tether. The prosecutor’s office claims that the funds of the exchange are held by the payment service provider Crypto Capital Corp., and the reason is their confiscation by the authorities of Portugal, the United Kingdom, Poland and the United States.

Against the background of this news, investors began to massively withdraw assets from Bitfinex. So, last week in just 12 hours, almost 19 thousand BTC were withdrawn from the cold wallet of the exchange, and later analysts estimated that in five days the outflow of funds from Bitfinex amounted to almost $ 600 million.

Zhao Dong himself defended Bitfinex and Tether, saying that the financial director of the exchange, Giancarlo Devazini, personally assured him that current problems were temporary and that funds would soon be unfrozen.

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