search icon

      Market Snapshot

      blog search icon

      Bitfinex’s LEO Skyrockets after $3.6B in Bitcoin is recovered - Stocks Telegraph

      By Ammar Mukhtar

      Published on

      February 9, 2022

      4:17 PM UTC

      Bitfinex’s LEO Skyrockets after $3.6B in Bitcoin is recovered - Stocks Telegraph

      On Tuesday, Bitfinex’s UNUS SED LEO token (LEO) took off to another untouched high of $8.14, just a short time after the US Department of Justice (DOJ) detailed the capture of 94,000 Bitcoin taken in an August 2016 Bitfinex hack.

      From that point forward, the cost of LEO has plunged imperceptibly, with the token as of now exchanging at around $6.98, as indicated by Coinmarketcap. This actually shows a huge ascent of around half as of now, with more than 80% of the earlier day’s exchanging volume occurring on FTX and, obviously, Bitfinex.

      The new jump, which saw LEO climb to 24th to the extent that market regard, is without a doubt a result of the catch of Bitcoin taken in the August 2016 hack of crypto exchange Bitfinex. According to the Department of Justice, regulation has seized 94,000 Bitcoin (regarded $3.6 billion at the hour of seizure) with respect to the break. The total amount of Bitcoin hacked around then amounts to 119,756 BTC.

      Close by the seizure, experts bound a couple from New York City with respect to the assessment. The pair has been blamed for assumed conspiracy to submit tax avoidance, which has a potential jail discipline of 20 years and reproved interest to swindle the United States, which conveys the biggest prison sentence of five years.

      The Statement from Bitfinex

      One more key component of the LEO token that financial backers ought to know about, particularly considering the new seizure. As per its white paper, Bitfinex has pledged to use no less than 80% of any Bitcoin recuperated from the 2016 hack to purchase and burn LEO on the open market. The crypto trade has affirmed its obligation to its promise in its Tuesday proclamation, saying that it would work with the DOJ to recuperate the held onto Bitcoin.

      Assuming Bitfinex gets a recovery of the taken bitcoin, as portrayed in the UNUS SED LEO token white paper, Bitfinex will, inside a year and a half of the date it gets that recovery and utilizes a sum equivalent to 80% of the recuperated net assets to repurchase and burn remarkable UNUS SED LEO tokens peruses the assertion.

      There are a couple of restrictions here. First off, legitimate activities are as yet continuous, and it is obscure when Bitfinex would get held onto Bitcoins. Second, as indicated by the white paper, tokens would be burned inside a year and a half after recuperation. Notwithstanding, on the grounds that Bitcoin is as yet in the control of the DOJ, no LEO tokens will be burned until further notice.

      More From Stocks telegraph