Bitfinex to Terminate “Trading, Deposits, and Withdrawals” For U.S. – Trustnodes

Bitfinex to Terminate “Trading, Deposits, and Withdrawals” For U.S.


Bitfinex, bitcoin’s biggest exchange by trading volumes, is to close shop in America on November 9, 2017, with the exchange stating:

“We are terminating trading, deposits, and withdrawal functionality for U.S. individual customers by no later than November 9, 2017.

U.S. customers are already barred from receiving financing from other users on Bitfinex’s peer-to-peer financing platform. This restriction will remain and, in addition, U.S. individual customers will no longer be able to provide financing on Bitfinex effective November 9, 2017.

All U.S. individual users must make arrangements to withdraw their Digital Tokens by November 9th.”

The exchange has been under a banking blockade for a year, with Bitfinex stating back in August this year:

“While we have been able to normalize banking for some corporate customers and individuals in certain jurisdictions, compliant banking solutions for U.S. individuals remain elusive.

We have been slowly and selectively inviting users in particular jurisdictions who meet set criteria to start using banking channels that have come online. This process is ongoing.”

A process which now clearly appears to have come to an end for US customers with the exchange so terminating all services towards that jurisdiction.

Their troubles began after CFTC fined them for providing unregulated margin trading facilities, with the exchange then latter getting hacked out of some $70 million worth of assets at the time.

The exchange kept on running by issuing a new token as representative of their debt to hacked customers. Tokens that somehow were redeemed in a short period.

While recently they have come under scrutiny due to their relationship with Tether, a centrally issued digital currency that is meant to represent $1.

Tether’s market cap has spiked to $440 million, suggesting nearly half a billion dollars has been given to them in return for Tether even while the company is under a banking blockade.

They are now seemingly shutting down their US operations, even while Bitfinex’s BTC/USD is the highest trading pair currently handling some $200 million the past 24 hours.

It is unclear whether this may ease the scrutiny of regulators towards the unlicensed and unregulated exchange, but what appears clear is that their troubles continue.


Comments (1)

  1. Why do Bitfinex not do like Coinbase?

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