Bitfinex Publishes Fiat Deposit Update Amid Tether (USDT) Sell-Off
Hong Kong-based crypto exchange Bitfinex has published an update regarding its temporary pause on fiat deposits that was implemented last week, clarifying that all withdrawals are currency functioning without interference.
The report came early this morning, shortly after Bitcoin (BTC) began trading at as much as a 10% premium and investors started to dump their Tether (USDT) in what many see as a flight away from the exchange.
— Bitfinex (@bitfinex) October 15, 2018
Speculation was amplified after crypto analyst Larry Cermak discovered that the exchange is now banking with HSBC through a private account of Global Trading Solutions while being the first to cite concerns over the availability of fiat deposits.
However, Bitfinex promptly fired back to refute the insolvency speculation, providing public addresses of cold wallet addresses for Bitcoin, Ethereum and EOS showing $980 million, $395 million and $204 million, respectively.
In the most recent report, Bitfinex iterates its position that operations are healthy and that the fiat deposit suspension is temporary, affecting only an unidentified subset of users.
“On Thursday, October 11th 2018, Bitfinex decided to temporarily pause fiat deposits (USD, GBP, EUR, JPY) for certain customer accounts in the face of processing complications,” states the exchange.
Both fiat and cryptocurrency withdrawals are still functioning on the exchange, and Bitfinex notes that everything should return to normal by mid-week as they roll out a more sophisticated system for processing of fiat deposits.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.