Bitfinex, the crypto exchange, decided to list its new exchange token, LEO after its initial offering supposedly raised $1 billion. Monday, 20 May was the chosen date for Bitfinex to list its new token exchange.
The company said in an announcement Friday, that the token will be listed on its platform and tradeable against bitcoin, the U.S. dollar, the tether stable coin, either, and EOS. Apparently, UNUS SED LEO is the full name of the token. It is also the name of the token’s formal issuer. In order to make up for an $850 million shortfall in funds, the company was rumored to be considering a token sale last month.
It was previously said by Paolo Ardoino, the exchange’s chief technology officer, that Bitfinex closed the $1 billion sales last week, with investments apparently ranging from $1 million to $100 million.
In return for $1 billion in USDT, Bitfinex said that it had sold 100 percent of its tokens. The disclosure was made on Friday, but it was not immediately clear who had specifically bought into this fundraising round.
The post said:
“The overwhelming response and expedient execution of the token sale represents a new milestone for Bitfinex and the greater Blockchain community”, adding:
“In addition to our excitement around bringing such an unprecedented and powerful token to the heart of our community, the Bitfinex team remains dedicated to continuing to grow and develop core infrastructure for our industry as a whole.”
It states in the exchange’s white paper that every month it will buy back some percent of its circulating exchange tokens. The percentage will be based on its monthly revenue or potentially the unlocking of its funds by Crypto Capital, which is a payment processor.
It was first revealed by The New York Attorney General’s office, that Bitfinex lost access to the funds held by Crypto Capital in April. Conflicting stories as to why, were reportedly provided by the exchange.
Bitfinex said that it was working to regain access to its funds that were seized by authorities in the U.S., Poland and Portugal, in recent court filings.