Bitcoin Forum

This is very unethical and worrying behavior: https://www.reddit.com/r/Bitcoin/comments/4yjw01/bitfinex_please_email_your_customers_and_inform/

If your broker took your funds and redistributed them to themselves and other customers, don't you think you'd deserve to be contacted? All they've done is post a few blogs and post on Reddit. Crazy.

It's very true that if you take Gox as an example, many users with funds on the exchange were using them as a wallet. Coinbase's enormous cold storage holdings vs their paltry trading volume suggests the same. Why would Bitfinex be any different? A lot of account holders probably still don't know.

What worries me is that alot of people is back on Bitfinex depositing big quantities of Bitcoin there, or just in any exchange whatsoever. I understand that if you are a trader you must have BTC available in exchanges to make profit from quick market changes, but I would stop using Bitfinex and go somewhere else, even tho all centralized exchanges will eventually get MtGoxed.. there is no solution.

Well Bitfinex is the same as any other exchange. and there is always a risk. I think we should avoid depositing high amount of money in exchanges. and when your order get fulfill, remove it from the exchange immediately.

Bitfinex being back in action is exactly what they want you to believe. I don't think their current volume is legit. And if it happens to be legit, then it's mind boggling if traders are still giving them a chance by not moving their coins away from this exchange. This exchange should be abandoned, and not be given a second chance. Especially when you see how bad they handle everything and make people lose a lot money.

They are not the same. It's not only that they just got hacked; they reopened and have now admitted that they don't know how they were compromised. They relaunched after several days: the platform was rebuilt from the same vulnerable code! Any funds there are held on an insecure platform.

And worse yet, Bitfinex "credited back" over 31k BTC to customers at relaunch following the funds redistribution. Those BTC were lost in the hack. Bitfinex has not deposited that BTC into any of their known wallets, and they have not proven control over it. They very well may be running a fractional reserve.

I trade under the assumption that all exchanges are corrupt and do fractional reverse, and assume all exchanges upon a long enough survival rate will tend to get "Goxed".

Unfortunately like I said before, there is no way for a trader but to risk having some BTC all day in here otherwise you miss opportunities.

Until we come up with a way to have decentralized exchanges with high volume, we will be stuck with the same shit.

They are still risking your funds there better to stop to use that site or deposit there better to transfer all your funds to other exchange for safety purposes.. and wait for bitfinex to solve their issues

Well you would have to be on a island without internet access or hospitalized not to know that they were hacked. It was all over the local news here, and people do talk with each other, so they should

know. These companies give me the shivers.  :'( How bad can your service and decision making be , if you cannot even send out a email to your users to inform them that their accounts has been

hacked? We seriously have to doubt the capabilities of some of these exchanges.  ??? ::)

hey i think there can be two possible reasons for this hack 1- bitfinex guys are lying and they tricked us tp think that they got hacked
2- somebody really hacked theirexfhange and the hacker gifted someone 1000btc from his profit

They are stil acting like nothing happened or like they still can hide it quietly. Unbelivable! This is not how serious and legitimate service should treat their customers. Even if they fix everything they will not gain the trust again

How can their customers not know what has happened and what is going on with their accounts?
I am pretty sure most if not all have an email notification tied to the email address that they registered with if there are any transactions or changes made to their accounts.
That is pure security that all companies that handle money have now days.

Do you think everyone in the world pays attention to the news? It's also not as if the story was plastered to the front pages for days. Major news outlets published one article and have now forgotten about it.

There are email notifications on login/security changes/deposits/withdrawals. So, if you were just sitting funds on Bitfinex as a wallet (and don't try to argue that no one uses exchanges as wallets), you would not have received any emails from Bitfinex.

When they haircut 36% of your balance, apparently that was not a transaction that warranted an email. An even bigger problem: They still don't know how they were hacked and are operating. So account holders that still don't know are doubly at risk because the entire platform is insecure and prone to being hacked again. People who are aware have the choice to exit with whatever funds they can. People who aren't aware because their broker didn't inform them don't have that choice.

Once I saw that there was no blockchain evidence that they controlled the 31k BTC they "paid back" to users, I figured this fit into their plan. They are probably insolvent re: BTC liabilities. If they were to directly notify all their customers about the hack, that would trigger another exodus of customer funds. That might expose their insolvency.

This is going down like MT Gox, IMO.

Hahaha I seeing about it, they're not feeling a worried about it and trying for putting their money again into them and caused it bitfinex is not need contacted and informed about their cases because that is just like a sharing their badness.

Bitcoin involves smart criminals, dumb Libertarians, brain washed, kids and people of ambiguous intellect taking advantage of these.

Bitfinex owners are crooks and not only from now. They always did a lot of shitty things like inside trading, price manipulation and others. Why? Because there not regulated by anybody(illegal broker/forex) and because their clients did not care about where they deposit the funds.

oh. YES ! Bitfinex appointed their friends from Ledger Labs to make a financial audit even Ledger Labs is a software company  ;D ;D ;D
For those who do not know, an audit company or auditor must be certified by a gov authority to do that.

The outside, independent auditor is engaged to render an opinion on whether a company’s financial statements are presented fairly, in all material respects, in accordance with financial reporting framework. The audit provides users such as lenders and investors with an enhanced degree of confidence in the financial statements.

So the Bitfinex's friends are "verifying" the Bitfinex's orderbooks, accounting   LOL

http://ledgerlabs.com/team/

What's amazing is that Bitfinex scam continues the biz like nothing has happened. The clients are happy that they "only" lost 37% :)

No lawsuit, no nothing..,

In all fairness, lawsuits take time. So do investigations by law enforcement agencies/regulators. Under HK law, to even push Bitfinex into bankruptcy, a creditor needs to serve them (properly) with a statutory demand then wait 21 days before filing a bankruptcy petition. We haven't even made it to 21 days since the hack. I am quite sure that many disgruntled traders are pursuing lawsuits that will push Bitfinex into bankruptcy.

Indeed, I always thought they were pretty shady and incompetent -- allegations of trading against users with privileged info (Phil Potter admitted to trading on the exchange) and all sorts of price manipulation, the regular outages/downtime, the buggy order matching (or lack thereof). Just all-around poorly run company.

But now they clearly have entered the realm of unethical/criminal scum. I wouldn't be surprised to see some of these guys like Giancarlo and Phil go to prison. People never expect the US government to do anything until they're domain gets FBI'd and their bank accounts seized. Game over.