Bitfinex stops serving US residents

At the initial stage, which starts from 12.08, the exchange stops accepting new verification requests from US users
12 August 2017   2372

Bitfinex, the Hong Kong based cryptocurrency exchange, announced that it is stopping the services for US residents. The process will be phased in and will be completed in 90 days.

According to the Bitfinex statement, the exchange planned to stop US residents serving some time ago and is now launching this procedure. 

Several factors have gone into this decision:

  • 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 surprisingly small percentage of our revenues come from verified U.S. individual accounts while a dramatically outsized portion of our resources goes into servicing the needs of U.S. individuals, including support, legal and regulatory.
  • We anticipate the regulatory landscape to become even more challenging in the future.
  • Bitfinex is not based in the United States. Exchanges based in the U.S. are better positioned to properly service retail U.S. customers.
     

Bitfinex Team

At the initial stage, which starts from 12.08, the exchange stops accepting new verification requests from US users. Maintenance of existing US users will be terminated in 90 days.

Additionally, Bitfinex denies the access for US users to trade certain digital tokens. Restrictions apply to ERC20-tokens, which are used in the ICO and take effect at 12:00 UTC on Wednesday, August 16. Restrictions on trading tokens EOS (EOS) and Santiment (SAN) take effect immediately.

The stock exchange also added that it reserves the right to further policy changes depending on the circumstances.

Japan to Tighten Regulation Due to Zaif Hack

$ 62 000 000 worth cryptocurrency was stolen from the Zaif exchange few weeks ago
25 September 2018   83

Hacking of Zaif exchange is the reason for toughening control over the market by the financial regulator of Japan, Reuters reports.

The first measure taken was administrative sanctions against the exchange and its operator Tech Bureau Corp. The Financial Services Agency (FSA) has expanded the list of requirements for the latter, pointing out the need to identify preventive measures and search for the organizers of the theft.

Shortly before that, researchers of the Japanese financial company Tech Bureau Corp could not provide details of the theft of $ 62 million from the Zaif crypto exchange at the request of the FSA. The Osaka-based operator had to investigate the causes, consequences of the theft and options for compensating the victims. According to the Agency, the financial company could not cope with the task.

According to the Tech Bureau, the exchange was hacked on September 14 within a few hours. The problem with the server was discovered by the site staff on 17 September. Official confirmation of the incident and notification of the authorities was made only a day later.

Recall, the theft of $ 60 million from the Japanese stock exchange Zaif caused a surge of volatility of bitcoin. For a short time the price was able to overcome the distance of $ 400.