Bitfinex ‘Bail-In’ – New Financial System Offers Laboratory For Handling Unexpected Losses
Matt Levine, a former investment banker and mergers and acquisitions lawyer, sees the Bitfinex “bail-in” as an early step in bitcoin’s attempt to address unexpected financial fallouts. Writing in his “Money Stuff” column for Bloomberg, he noted there will be more such crises to come, and he is hopeful bitcoin/blockchain will be able to come up with solutions. He thinks that the innovation in the bitcoin/blockchain financial system taking place could give direction to more traditional finance. Bitfinex Hack Was Unique. Levine noted that Bitfinex, which suffered a $71 million hacking attack,....
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Hong Kong’s lack of insolvency protection for companies makes a fate similar to MtGox more likely. Creditors, not Bitfinex, are the ones who get to decide whether to socialize losses. Socialized Losses? Not So Fast. Bitfinex, a bitcoin exchange based in Hong Kong, was hacked last week and suffered a loss of roughly $70M USD. The company appears insolvent....
Following the theft of ~$70Mn worth of bitcoins on 2nd August, Bitfinex has calculated how much each customer would stand to lose: 36%. Arriving at Assets of Each Customer. Bitfinex has cancelled all withdrawals, open orders and open funding offers. All financed positions were settled based on a published settlement price. Post this, the asset position of each customer has been finalized. Accounting complete. Bitfinex has finalized accounting for the losses incurred. After consultation, it has arrived at the conclusion that losses must be generalized across all accounts and assets. Each....
Recently, Robonomics launched a laboratory of multi-agent systems, where students can learn open-sourced skills. Now they are already successfully working on three projects and looking for tech-savvy people who want to work with robots, sensors, and other and other industry 4.0 applications. What the laboratory is about The laboratory was created to implement the Robot-as-a-Service […]
Bitfinex may have legal troubles coming their way after socializing losses. It seems like Bitfinex has more to worry about than just the loss of 119,756 bitcoins to hackers. The platform recently announced that it will be generalizing the losses across all users. According to the exchange’s calculations, the generalized loss percentage is set at 36.067 percent. Meaning, all Bitfinex users will be contributing more than a quarter of their digital currency holding so that the ones who lost can be reasonably compensated at the moment. In return, the platform will be offering BFX tokens to....
Mark Karpeles, the ex-CEO of Mt Gox is currently walking free after the court in Japan granted him bail against a deposit of $94,500. Mark Karpeles, who has been spending time in a Japanese jail for the past 10 months is finally out. The ex-CEO of now defunct Mt Gox Bitcoin exchange which declared bankruptcy after losing large amounts of bitcoin to hacking incidents has been granted bail by the Japanese court after he managed to deposit the bail amount of close to $100000. The images of Mark walking out of the prison shows him to be a completely different person after he lost weight over....