CandleFocus

Bitfinex deemed 'sole victim' eligible for recovery of $7.4 billion Bitcoin hack

Author: Content Editor
A recent US government filing suggests that Bitfinex may be the only entity eligible for restitution in connection with the 2016 hack that resulted in the theft of approximately 120,000 BTC. The filing states that the government is not aware of any other victims beyond Bitfinex. After the hack, Bitfinex reduced customer account balances by 36% and issued BFX tokens as compensation. All BFX tokens were eventually redeemed, with some customers receiving shares in Bitfinex's parent company, iFinex. The filing indicates that restitution efforts will likely focus on Bitfinex rather than individual account holders. Bitfinex has been collaborating with law enforcement agencies to recover the stolen assets and has already received seized BTC and cash as part of these efforts. The exchange plans to use the recovered funds to redeem Recovery Right Tokens (RRTs) and allocate any remaining assets to UNUS SED LEO token holders. This development may streamline the legal process and expedite the return of the seized assets.

Related News