The proposal was made to victims of the 2016 Bitfinex hack which is considered one of the most important in the history of crypto.
Bitfinex suffered a huge hack that occasioned a loss of 120,000 Bitcoin in 2016. Seven years later, the company is offering customers some sort of relief.
Bitfinex offer buyback
The owners of the company Bitfinex, iFinex, have offered to buyback shares at $10 per share. The move comes amidst regulatory scrutiny over the company dealings and company’s move to tighten control over its affairs.
The proposal was made to victims of the 2016 Bitfinex hack which is considered one of the most important in the history of crypto.
At the time of the hack, Bitfinex lost 120,000 BTC to hackers. At the time, Bitcoin was valued at $71M. When Bitcoin was at an all-time high, the investment was at $8.2B. At press time, it is approximately $3.1B.
The investors might still profit from the higher iFinex valuation even though they missed out on the parabolic gain during the 2017 and 2021 bull runs by holding the shares rather than BTC. Additionally, they are now able to withdraw the money from the “relatively illiquid assets.”
Read more: 12 years in jail for AirBit Club co-founder
Ilya Lichtenstein, a New Yorker, acknowledged coordinating the 2016 Bitfinex hack. In addition, Lichtenstein acknowledged taking part in the cryptocurrency theft’s money laundering. Lichtenstein and his wife, Heather Rhiannon Morgan have since pleaded guilty.
In July, Bitfinex revealed that it had received 6.917 BCH and $312,219.71 in cash from the US Department of Homeland Security in connection with the 2016 attack. As a sort of speculative compensation for the attack victims, the recovered funds are being used to redeem Recovery Right Tokens (RRTs) given to account holders following the incident.
Disclaimer: CryptoPlug does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.
