The cryptocurrency exchange has announced that 100% of BFX tokens have been redeemed. The tokens were issued to compensate users’ losses in the August 2016 hacker attack.

Bitfinex used its internal reserves to complete the final redemption of all BFX tokens, which are now supposed to be destroyed. According to the official statement, the exchange could achieve the goal thanks to a rise in equity conversions and record operating results in March.

 

The last redemption phase started at 20.00 UTC on 3 April and took approximately 45 minutes. Within that time, Bitfinex suspended all withdrawals, wallet movements, margin liquidations, trading and lending in BFX.

The exchange expressed their appreciation to customers for their help:

“Once again, we are deeply grateful for the patience and trust of our customers and shareholders as we worked towards — and have achieved — full recovery in just eight months. Without the community’s support, Bitfinex could have easily become a footnote in the history of the digital token revolution, instead of a leader and trend-setter.”

BFX tokens were bought back at its nominal price of $1. In September, after BFX were emitted, they traded at about $0.49-0.65 per token, because many customers were not convinced that the scheme would work.

Meanwhile, some Bitfinex clients are still sceptical about the redemption programme’s results. They criticise the company’s decision to make the buy-back in US dollars rather than in bitcoins. The exchange rate of bitcoin has grown drastically since August. According to commenters, it means that Bitfinex clients received only a half of the value of their actives stolen by hackers in August. They also note that many customers hastened to sell their BFX tokens at a very low price. Therefore, it was speculators who have gained the most from the redemption scheme.

On 2 August, Bitfinex reported a massive hacker attack resulted in the loss of 119,756 BTC (around 0.75% of all bitcoins in circulation). The generalised loss accounted for 36.067% which were distributed among all customers.

Elena Platonova

Image via Flickr