Bitfinex Will Start Sharing Data About Its Clients

Bitfinex will start exchanging client data with other companies using the Notabene service. This is reported on the company's website.

With the help of development, Bitfinex will track complex transactions to meet regulatory requirements, Notabene says. In fact, this means that the exchange will begin to transfer data about its customers to other crypto exchanges, which are also part of the initiative called "travel rule". Now the platform is only testing the functionality.

According to Dmitry Machikhin, CEO of Bitnalog, the demand for such services will grow due to increased regulatory oversight.

"The next step will be the widespread taxation of cryptocurrencies, which sooner or later will affect Russia. And Rosfinmonitoring is developing a system for this in the Russian Federation," Machikhin said in an editorial comment.

Bitfinex's decision to exchange client data appears a couple of days after Tether took similar measures. Tether claims that the new feature will "ensure the protection of customers," but the participants of the crypto community did not appreciate the company's initiatives.

According to Machikhin, Tether took this step far from its business interests. The decision is conditioned by "pressure from the US financial regulatory authorities," he believes. Recall that Bitfinex and Tether have been fined several times before. For example, the last fine cost Tether $41 million. In both cases, Tether was criticized for misleading.

The opacity of Tether's business has already led to the fact that the audit firm Hindenburg Research announced a reward of $ 1 million. The money will be given to those who provide "exclusive information" about the USDT security reserves. According to the firm, Tether does not tell the whole truth, and the available information is opaque.


You must be logged in to post a comment.