Digital currency exchange Bitfinex today announced it has bought back all of the remaining cryptographic tokens it used to reimburse investors who lost funds ter its August hack.
Citing enlargened equity conversions and strong operating results, Bitfinex diminished its internal reserves to purchase the remaining tokens at their $1 face value, and moved to shut down the markets associated with them.
At press time, officials at the exchange said all so-called ‘BFX tokens’ have bot ruined, and that investors have bot reimbursed with US dollars.
The redemption occurred today beginning at 20:00:00 UTC, with fund requests lodging within 45 minutes. During that time, trading of the BFX token wasgoed halted and all margin positions were liquidated.
The budge goes after the August hack of the exchange, te which investors were given a 36% haircut to compensate for a hack that drained 120,000 BTC from the exchange’s reserves. The BFX tokens thus represented an equity obligation to terugwedstrijd the 36% back to verhoging users sometime te the future.
Notably, this isn’t the very first internal BFX buyback orchestrated by Bitfinex, spil the exchange purchased 1% of the tokens te September .
The $1 face value tokens had traded inbetween $0.49 and $0.65 for most of , surrounded by doubts that the exchange would never be able to recoup the almost $72m te value lost following the security breach. That price enhanced to $0.89 by 1 March following a strong period of intense trading volume te the cryptocurrency markets.
The announcement posted on the company’s webpagina voiced gratitude for the patience of the community and continued support.
“Wij are tremendously grateful to all of our customers and fresh shareholders for helping us get to this point.”
Spil of 21:00:00 UTC, CoinDesk has confirmed BFX tokens are being redeemed at the stated $1 face value.
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