Hacked bitcoin platform Bitfinex face lawsuit

Hacked bitcoin platform Bitfinex face lawsuit

Crypto-currency exchange Bitfinex, who recently saw $72 million worth of Bitcoin stolen by hackers, risk being sued for its plan to spread the loss across its whole customer base.

The Hong-Kong based exchange told customers they would have to forfeit 36 percent of their holdings after the theft, in exchange for “BFX tokens” that could be redeemed at the exchange or converted into shares in its parent company.

The announcement came after hackers stole $72 million of bitcoin from a minority of customers’ accounts on the 2nd August. However, lawyers have since said that their plan could be open to legal challenge.

Bitfinex may well be breaching a special banking relationship, going against the company’s terms of service; many customers are angry at the arrangement, saying the possibility of their funds being used to keep Bitfinex afloat was not disclosed to them before placing money with the platform.

15/08/2016