{"id":380043,"date":"2019-04-28T21:00:21","date_gmt":"2019-04-28T21:00:21","guid":{"rendered":"https:\/\/ktsl888.com\/?p=380043"},"modified":"2024-06-11T07:39:52","modified_gmt":"2024-06-11T07:39:52","slug":"bitfinex-premium-continues-to-rally-even-after-bitcoin-btc-stabilizes-tether-fears-subside","status":"publish","type":"post","link":"https:\/\/ktsl888.com\/news\/bitfinex-premium-continues-to-rally-even-after-bitcoin-btc-stabilizes-tether-fears-subside\/","title":{"rendered":"Bitfinex Premium Continues To ‘Rally’ Even After Bitcoin (BTC) Stabilizes, Tether Fears Subside"},"content":{"rendered":"

If you’ve checked Crypto Twitter or *insert your favorite trade publication* over the past 72 hours, NewsBTC is sure that the Tether and Bitfinex news<\/a>, along with the effect this debacle has had on the Bitcoin (BTC) price, has been on your radar. But if you are somehow unaware, here’s a brief recap:<\/p>\n

On Thursday, the New York Attorney General\u2019s (NYAG) office published a press release, in which it was stated that\u00a0Bitfinex and Tether\u00a0were in violation of New York law through participation in activities that \u201cmay have defrauded\u201d local cryptocurrency investors. Letitia James, the Attorney General herself, explained that the two firms may have \u201cengaged in a cover-up\u201d to hide the \u201capparent loss\u201d of $850 million, which was a result of a payment processor, Crypto Capital, losing access to the funds (purported seizure by governments in Poland, Portugal, and the U.S.).<\/p>\n

Related Reading: Tether Turmoil Twist: Stolen Reserves Proves Crypto Stablecoin Was Once Backed<\/a><\/h6>\n

It was explained in a 23-page document that sometime in the past six months,\u00a0Tether transferred $625 million to Bitfinex. And just recently, Bitfinex is reported to have returned the funds, but still has an iFinex shares-backed line of credit, which amounts to $700 million, open with Tether.<\/p>\n

Bitfinex Premium Hits 6.75%, Bitcoin Stabalizes\u00a0<\/strong><\/h2>\n

As a result of this news, investors immediately flew into a state of panic. Bitcoin was panic sold, dropping the spot value of BTC to $4,900 on some exchanges; users of Bitfinex rushed to withdraw their assets, resulting in a mass exodus of a purported $100 million worth of BTC and Ethereum from exchange-owned wallets.<\/p>\n

While the storm has since calmed, investors still seem to be on high alert. According to data from Marty Bent, a Bitcoin-centric content creator, the Bitfinex premium is now $350, a 6.75%. This means that on Bitfinex, BTC is trading $350 higher than platforms that don’t involve themselves in Tether.<\/p>\n

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The Bitfinex premium is increasing. <\/p>\n

Now at ~$350 or 6.75%. $BTC<\/a> #Bitcoin<\/a> pic.twitter.com\/mRLY2mbxKz<\/a><\/p>\n

— Marty Bent (@MartyBent) April 28, 2019<\/a><\/p><\/blockquote>\n