Bitfinex's LEO Token Whitpaper to be Released

Public stage of tokensale may not be conducted if hardcap of $1B won't be reached during closed sale
08 May 2019   270

Bitfinex Cryptocurrency Exchange published the whitepaper LEO token, with which it intends to raise $ 1 billion during the initial exchange offering (IEO).

It is expected that this amount will allow to fill the previously formed deficit of $ 850 million - the site operator will redeem tokens monthly for an amount of 27% of the profits.

Private stage of tokensale ends on May 11. If the intended hardcap won't be reached by this time, Bitfinex may refuse the public part of the campaign.

If fewer than 1 billion USDt tokens are sold by private token sale, the Issuer may thereafter sell remaining tokens at times and in a manner it deems appropriate in its sole discretion, consistent with applicable law. 
 

LEO Whitepaper

The issuer of the LEO token is Unus Sed Leo Limited, the newly registered IEO-iFinex platform.

The document also says that iFinex, which will be launched in June, will actively participate in the development of the second-tier Lightning Network.

iFinex has joined with a number of other companies and individuals to help develop and finalize the support for digital assets on Lightning Network. Ideally, digital assets developed and introduced by iFinex, including the LEO token, will be among the first digital assets launched on the Lighting Network.
 

LEO Whitepaper

In addition, Bitfinex plans to create a “a licensed and regulated security tokens exchange”, launch a derivative product with security at USDT and leverage up to 100x, as well as the Dazaar Big Data Marketplace and Betfinex exchange rates.

Another project will be the modular set of tools, libraries and protocols μFinex, based on the principles of open source. It will be used in both exchange and derivative products.

It worth reminding that in late April, the Attorney General’s Office of New York reported receiving a court order against Bitfinex in connection with the alleged loss of the last $ 850 million and the concealment of this fact from market participants.

Representatives of the trading platform said that we are not talking about permanent loss. These funds are frozen in bank accounts of Panamanian processing Crypto Capital Corp., located in four countries.

To ensure liquidity, Bitfinex was forced to use Tether Limited's funds for a loan and, according to the AG’s Office, has already received $ 750 million from the company's reserves. This was considered by the department as a crime.

On May 7, the New York State Supreme Court upheld the injunction against the Bitfinex Bitcoin Exchange, which does not allow Tether Limited to use its reserves for Exchange lending and other investment activities.

Bitfinex Shareholder to Start Pre-Orders for IEO

It should be noted there's no official whitepaper for the token and the fact of IEO wasn't confirmed by the operator of trading platform
06 May 2019   289

The Chinese platform RenRenBit, which is an intermediary between cryptocurrency lenders and borrowers, has begun to accept preliminary applications for participation in the public stage of IEO of the Bitcoin exchange Bitfinex. RenRenBit is part of the DGroup company, which is owned by a major Bitfinex shareholder, Zhao Dong, CoinDesk reports.

Note that the operator of the trading platform iFinex Inc. has not yet published the official white paper for its token, and has not even confirmed the fact of IEO itself. Dong is the main source of information on tokensale for $ 1 billion and it was he who distributed the marketing documentation of the LEO token through Weibo, although some top managers from Bitfinex have already mentioned the coin on Twitter.

Retail investors who have undergone a KYC procedure can already commit to invest up to $ 1,000 in USDT equivalent at the IEO's public stage. However, according to the mentioned marketing documentation, if the tokens are sold out to accredited investors by May 10, the tokensale will end in a closed format. As of May 4, the exchange allegedly received a verbal commitment of $ 600 million.

It is worth adding that the fake white paper of Bitfinex token has already appeared on the web, whose authors use the uncertainty around the alleged campaign and the lack of official statements to mislead gullible users. The official white paper has not been released.

CoinMarketCap, a popular analytical resource, meanwhile, excluded Bitfinex quotes from calculations of the average value of digital assets, since they significantly exceed those of other trading platforms.

Earlier, New York State Attorney General Letitia James asked the state Supreme Court to uphold the order for Bitfinex, which does not allow her to renew the credit line from Tether Limited. She warned the court about the high risks for users of the platform and USDT holders.

However, a week ago, Tether Limited's chief lawyer Stuart Hogner stressed that there are no risks for users, although steylcoin is secured only by 74%.

So, Bitfinex could already receive about $ 750 million from the USDT issuer's reserves to ensure liquidity after the fiat funds of the exchange's operator were blocked in the accounts of the Panamanian processing Crypto Capital Corp. in Poland, Portugal, the UK and the USA.