Note from the Publisher: While we realize that many of our readers (which according to Google Analytics are primarily US-based) may have not invested in Bitfinex, we still think it’s an important story because of the potential ramifications for how future hacks may be handled when it pertains to digital currency. Coindesk is reporting today that Bitfinex plans to work with BnkToTheFuture to offer equity in iFinex Inc, its BVI-based parent firm, as compensation for losses. There are appears to be ongoing questions of legality around all of this, so stay tuned. No doubt, this all points to increased regulation on these exchanges in the future.
“…..Weeks after a debilitating hack, Bitfinex has signed a letter of intent with UK investment platform BnkToTheFuture that finds the two firms collaborating to enable the redemption of BFX tokens for equity in iFinex Inc, its British Virgin Islands-based parent company.
Introduced when the exchange came back online on 11th August, BFX tokens are meant to make up for the 36% customer losses imposed after the incident. Issued to customers at a $1 value, the value of the blockchain-based token was $0.38 at press time.”