BTC-e unveils a plan for repaying debts to customers

BTC-e exchange has published a plan for repaying debts to its customers
09 August 2017   2041

Bitcoin exchange BTC-e has gone offline more than two weeks ago. At 25th of July, the FBI agents seized all the equipment from their data center. On Saturday evening, July 29th, all the coins were withdrawn by one transaction. The total withdrawn amount was 485,705.4597502 ETH, which at the current market rate is almost $95 million. 

A bit later, BTC-e support team reported on having access to its database and wallets.

Now, the BTC-e team has published a plan, according to which debts are to be paid to their customers.

According to the team, for the last 14 days they have been engaged with fighting for their customers'funds. Thus, BTC-e managed to gain control over 55% of the funds (depending on the course), while the remaining 45% are arrested (mostly in Fiat). As the arrest is withdrawn from the accounts, the amount will decrease, the company details.

As BTC-e reports, the way out of the current situation is seen to be as follows:

  • It is not possible to continue working under the current BTC-e brand due to unresolved issues from the Office of Financial Crimes of the US Treasury.
  • At the moment, BTC-e is negotiating with a group of investors (an investment company) about buying and the launch of the service to repay debts to the customers. 
  • BTC-e will recalculate the balance sheets after the transfer of all the balance sheets to the investment company.
  • Taking into account the available 55% of funds, the conversion procedure will be held like this:
    - All Fiat liabilities (USD, EUR, RUR) will be transferred to BTE tokens (1 BTE is 1 USD) at the exchange rate on the conversion date. Probably, there also will be an ICO on BTE tokens.
    - If you have coins on the balance, then you will be written off 45% of the balance of coins and credited with 45% of BTE (1 BTE is 1 USD). Again, at the exchange rate on the day of conversion.
    - If you have a balance in BTE, then you will be credited with 45% in coins (the amount will be divided into 7 different coins equally: BTC, LTC, NMC, NVC, PPC, ETH, DSH) and write off the amount of 45% in BTE.
    - Thus, after all recalculations, all users will have the opportunity to withdraw 55% of their funds from the system.
  • Due to the fact that the investment company works in compliance with KYC, AML and with the licenses required for this activity, all users will need to undergo the verification.
  • The launch's estimated date is the end of August.

The exchange also claims that all the debt obligations will be paid primarily from operating income from the investment company's commission, as well as from the funds BTC-e plans to sue from those who illegally arrested them.

All the funds that were in the reserve fund (including all BTC-e income) were transferred to pay off the debts.

BTC-e team

According to the team, the next update will provide users with more details on the procedure for accessing information on the balance sheet and the possibility of funds withdrawing.

Poloniex to Suspend Operations for Few Hours

Representatives of the exchange say users' funds will be completely safe during maintenance
21 February 2019   55

The cryptocurrency exchange Poloniex has announced maintenance, which will begin on February 22 at 22 UTC. The trading platform will be unavailable for several hours.

Representatives of the exchange claim that the users' funds will be completely safe. Technical work associated with the modernization and transition "to the best data centers, which will increase the reliability of the platform and increase uptime."

Also in Poloniex noted that the trade orders of users will not be canceled.

Recall, recently Poloniex has added to the listing of privacy-oriented cryptocurrency Grin.