Bitfinex will be the first trading platform to attract approximately $1 billion during the initial exchange offering. The attracted financing will allegedly be spent on covering losses from $850 million confiscated due to New York Attorney General's investigation.

Bitfinex’s parent company received $1 billion in hard and soft commitments for its exchange token sale worth more than $1 billion. iFinex, the exchange's parent company, closed the bid book even before the IEO went public, CoinDesk reports citing Don Zhao, chinese trader, founder of DGroup, and Bitfinex minority shareholder. According to him, since the exchange managed to close the bid book of commitments before the start of public bidding, “there’s a high possibility Bitfinex will not conduct a public sale.”

Soft commitments suggest that investors who applied to purchase LEO tokens did not freeze their USDT to purchase LEO and may still refuse the deal. Thus, there is still an opportunity to take part in the exchange offer. If any of investors who filed soft commitments refuse to participate in IEO, the released LEO tokens will be offered to other investors in turn.

Zhao did not specify the proportion of soft and hard commitments.

As part of IEO, 1 billion LEO tokens with a starting price of $1 each will be sold. The minimum investment amount is $1 million. Only qualified foreign investors will be allowed to take part in the offering. To confirm the intention to purchase tokens, investors need to freeze a deposit worth 10% of the amount they planned to invest.

Tokens will be emitted by Unus Sed Leo Limited, owned by iFinex. According to Don, the LEO token uses a hybrid model that combines characteristics of BNB tokens issued by Binance and earlier existing BFX tokens issued by Bitfinex after it fell victim to a hacker attack in 2016. After hacking incident in 2016, Bitfinex issued BFX tokens worth about $72 million, which, by April 2017, were bought out using the exchange's revenues.

iFinex does not disclose why it decided to attract $1 billion via IEO. But it can be assumed that the attracted amount will partially go to cover losses of $850 million, which were withheld by the payment processing service Crypto Capital and later confiscated by the authorities of Poland, Portugal and the USA.