Shares 224 Views

FBICO? BTC-e Considers Debt Tokens and ICO to Repay Users

Embattled cryptocurrency exchange BTC-e is considering issuing tokens via an ICO to cover user losses similar to Bitfinex.

In a fifth Russian-language update on Bitcointalk today, the exchange said it now had control of 55 percent of its reserves, with 45 percent remaining under control of the FBI.

“For the past 14 days we’ve fought for your funds and managed to gain control of 55 percent (depending on the exchange rate),” the post begins. “The remaining 45 percent is apprehended funds, most of which are fiat.”

BTC-e is facing mounting pressure from US law enforcement agencies and users alike, who have been shut out from their accounts since last month.

The FBI had seized databases and wallets from the exchange, while the US Securities and Exchanges Commission (SEC) said it had wanted to fine it $110 mln for disregard of AML laws applicable to operators serving US customers.

The update continues with staff saying it was “in talks with a group of investors” over a potential takeover and subsequent payout to users. It added it would no longer be able to continue trading under the BTC-e brand.

Regarding the 55 percent available funds, these, it says, will be converted to new BTC tokens.

“To achieve quicker settling of our debt obligations, BTE tokens may undergo an ICO,” the update adds.

The mystery investment outfit in question works in full compliance with relevant KYC and AML standards.

A rough English translation of the update is available here.

You may be interested

shares19 views

South Korea’s Cryptocurrency Regulator Found Dead at Home

Brian Evans - Feb 20, 2018

The post South Korea’s Cryptocurrency Regulator Found Dead at Home appeared first on CCN Fifty-two-year-old Jung Ki-joon led the regulatory effort to implement tighter controls on cryptocurrency trading. He…

press release
shares17 views

FarmaTrust – Blockchain and AI solution purifies pharmacology supply chain

Brian Evans - Feb 20, 2018

Disclaimer: This is a paid sponsored article, and it does not reflect the values or beliefs of the news network and the author. We keep due diligence…

shares21 views

Finland Mandates Cold Storage, Public Auctions for Seized Bitcoins

Brian Evans - Feb 20, 2018

The Finnish government has released guidelines prescribing how authorities must handle the 2,000 bitcoin confiscated since 2016.

Most from this category

shares15 views

A Beginner’s Guide to MobileGo

Brian Evans - Feb 20, 2018
shares14 views
shares22 views

What Is Streamr DATAcoin?

Brian Evans - Feb 20, 2018
%d bloggers like this: