Digital asset platform Bitfinex was shut down and fined $ 18.5 million by the state of New York.

The reason for this measure is due to an alleged case of fraud towards investors, where losses of 850 million dollars were estimated, according to prosecutor Letitia James.

“This week, we are taking steps to end the illegal activities of Bitfinex and tether in New York. An agreement with iFinex, Tether and their related entities will require that they cease any additional business activity with New Yorkers, in addition to forcing the companies to pay $ 18.5 million in fines“, the statement said.

Part of the brief also states that the Bitfinex operator made false statements regarding the support of the stablecoin tether, and the movement of a few hundred million dollars.

Virtual currencies, as opposed to regulated government currencies like the dollar, are used by millions of investors around the world to purchase goods and services, often anonymously, through secure online transactions.

James said that tether’s claims that its virtual currency was fully backed by US dollars at all times were false.

K. Tovar

Source: SputnikMundo

La entrada New York orders Bitfinex platform shutdown apareció primero en Bitfinance.