Bitfinex Aims to raise $1 Billion in IEO’s
Bitfinex, the parent company for the cryptocurrency exchange “iFinex” has revealed their plans for their Initial Exchange Offering (IEO), which aims to raise a total of $1 Billion. The firm in their public announcement released new details regarding their future operations. The company, which currently has 25 developers working on various projects, elaborated in particular regarding a few of their ventures. Specifically, they focused on the future of the Bitfinex Exchange and their proceedings.
Bitfinex Parent Financials
Despite problems they had earlier in 2017, the company shared financial details regarding their KPI’s for 2018 and 2019. The firm was able to achieve $750 million in revenue during 2018, with them being well on track to earn that figure again in 2019. However, the company paid out over $600 million in dividends and also had a $20 million operations cost in 2019. As such, their in-house profit was only $130 Million.
The company wants to increase their in-house profit which is why they are developing several new products that are slated to be released in June 2019. Bitfinex claims that they’ve made serious progress with beta testing and can confirm three of the seven products will be launched. One of these products is “Bitfinex Derivatives” which will allow users to hedge and trade a Bitfinex amount at a 1:100 leverage. Beta testing for this new service will begin next month.
The company is also launching an EOS-Exchange Product. This product is currently already being beta tested and is expected to be released to the public by late June.
The IEO Platform
Industry trends are focused on IEO’s as of right now. Bitfinex is working night and day with its subsidiary platform “iFinex” to release their own IEO Platform to public traders and investors. This new project aims to provide investors with new security tokens. However, this service won’t be available in the United States where this company is located. IEO’s are the next-generation marketplace for trading.
Bitfinex takes Tether Loan
Bitfinex &iFinex are now both being investigated by the US Department of Justice because the firm took out a loan with Tether. This move is under investigation as Tether is a blacklisted company with the US Department of Justice. The announcement released by Bitfinex this week didn’t give any insight into what is going on between their company and Tether. Currently, a large portion of funds have been withheld by the department of justice, and Bitfinex doesn’t believe they will be able to recover those funds.
Bitfinex is now using insider friendships with governments around the world to try and guarantee the safe return of their funds. However, there is no certainty that they will be able to achieve this goal. Regardless, the firm is confident in their future and believes they’ll be successful in their goals.