Hong Kong-based cryptocurrency exchange Bitfinex will be planning to launch its own native exchange token either via a private sale or Initial Exchange Offering (IEO). Dong Zhao, a prominent Bitfinex shareholder, Founder of the Blockchain based firm DGroup reveals that in a report.
A court order has obtained against iFinex (Operator of Bitfinex) and Tether Limited ( issuer of the Stablecoin USDT) joining the two firms: “from further violations of New York law in connection with ongoing activities that may have defrauded New York investors that trade in virtual or ‘crypto’ currency.”
Recently Bitfinex has covered its loss of $850 million with its partner stablecoin Tether (USDT). A report reveals that only 74 percent of the supply of the stablecoin USDT is backed up by the Bank reserves. After this report, there is a tense situation between the USDT holders and Bitcoin market shows small gains.
Bitfinex Token Details
Zaho further reveals about the token and said that Bitfinex is looking to raise $1 Billion via the token sale and the total supply of the token is 1 Billion.
There will be a minimum buy order of $1 million. Only qualified investors can buy the tokens and they need to commit after reading the whitepaper. This is more probably a private sale and not available for public users.
There is no more official information revealed by Bitfinex exchange. There are rumours that if Tether fails all major cryptocurrency exchanges will delist USDT and this will affect the market very badly. If that happens maybe the market will drop to 15-20 percent, not 50-80 percent.