Bitfinex - FRAUD, price manipulation, fake transactions - page 6.

illyiller

hero member

Activity: 697

Merit: 520

Quote from: gentlemand on December 03, 2017, 09:09:59 AM

https://twitter.com/MrChrisEllis/status/936686197593853952

Bloomberg will be running a feature on someone who tried and failed to get real USD out of Tether. I assume he wasn't one of their 'institutional investors'.

Interesting to see how BFX will respond. They're using the old KYC chestnut.

I'm not sure how I feel about this. As shady as Tether is, I wasn't quite ready to see the Tether FUD aired on Bloomberg. And presumably this story will be picked up by other mainstream outlets as well, because the media loves Bitcoin FUD!

I guess this is why they hired Torossian for that PR offensive. They are running out of excuses for their inability to redeem USDT, and it seems like they can smell the PR shitstorm coming.

I wonder what it'll do to the price. We have to consider Tether's position in the larger ecosystem. If USDT holders start panicking, that could mean a rush out of USDT and into cryptocurrencies. One would assume this kind of FUD would drive prices down, but I'm not so sure...

mayax

legendary

Activity: 1470

Merit: 1004

Quote from: Quickseller on December 03, 2017, 02:29:01 PM

Quote from: Samarkand on December 03, 2017, 02:08:53 PM

Quote from: Quickseller on December 03, 2017, 12:48:35 PM

...Bitfinex is usually the entity purchasing USDT from tether, in response to customer withdrawal requests of USDT, who generally send those USDT to other exchanges.
...

Irrespective of the verisimilitude of this statement, this is pretty alarming. After all many people have claimed for months that institutional investors are buying
all these Tether and they are the ones, who are easily able to wire money in and out of Tether. Now we see that the entity that purchases all the USDT is actually
Bitfinex itself and not the institutional investors that people were ecstatic about.

This is a huge red flag and doesn´t alleviate my doubts about the whole Tether situation at all.

Institutional customers wire USD to bitfinex, either those same, or other customers subsequently attempt to withdraw USDT from bitfinex, then bitfinex will 'top off' their hot wallet of USDT by transferring USD from bitfinex's bank account to tether's bank account in exchange for USDT being sent to bitfinex, and bitfinex processing those USDT withdrawal request.

This is not complicated. Nor is it different from what a bank will do when a customer wants to withdraw (very) large amounts of physical cash from their bank account.

as I said for many times, the 'institution' buying the worthless Tethers, is Bitfinex themselves.

Institutional investors will NEVER use an unaudited unaccountable company, unlicensed company, a company without an official bank account in the last 7 months and 3 times hacked. Let's not forget that Bitfinex is banned by the US banks. Now, they are using shell companies in order to open new bank accounts.

Quickseller

copper member

Activity: 2996

Merit: 2374

Quote from: Samarkand on December 03, 2017, 02:08:53 PM

Quote from: Quickseller on December 03, 2017, 12:48:35 PM

...Bitfinex is usually the entity purchasing USDT from tether, in response to customer withdrawal requests of USDT, who generally send those USDT to other exchanges.
...

Irrespective of the verisimilitude of this statement, this is pretty alarming. After all many people have claimed for months that institutional investors are buying
all these Tether and they are the ones, who are easily able to wire money in and out of Tether. Now we see that the entity that purchases all the USDT is actually
Bitfinex itself and not the institutional investors that people were ecstatic about.

This is a huge red flag and doesn´t alleviate my doubts about the whole Tether situation at all.

Institutional customers wire USD to bitfinex, either those same, or other customers subsequently attempt to withdraw USDT from bitfinex, then bitfinex will 'top off' their hot wallet of USDT by transferring USD from bitfinex's bank account to tether's bank account in exchange for USDT being sent to bitfinex, and bitfinex processing those USDT withdrawal request.

This is not complicated. Nor is it different from what a bank will do when a customer wants to withdraw (very) large amounts of physical cash from their bank account.

Samarkand

sr. member

Activity: 658

Merit: 282

Quote from: TheQuin on December 03, 2017, 06:17:11 AM

...

Untrue. Tether's banks stopped accepting international wire transfers due to a wider banking issue in Taiwan that also affected other companies there...

If this was the case, you should be easily able to name 3 companies that were affected by the banking issues in Taiwan aside from Bitfinex and Tether.
I´m waiting for your reply.

Quote from: Quickseller on December 03, 2017, 12:48:35 PM

...Bitfinex is usually the entity purchasing USDT from tether, in response to customer withdrawal requests of USDT, who generally send those USDT to other exchanges.
...

Irrespective of the verisimilitude of this statement, this is pretty alarming. After all many people have claimed for months that institutional investors are buying
all these Tether and they are the ones, who are easily able to wire money in and out of Tether. Now we see that the entity that purchases all the USDT is actually
Bitfinex itself and not the institutional investors that people were ecstatic about.

This is a huge red flag and doesn´t alleviate my doubts about the whole Tether situation at all.

Quickseller

copper member

Activity: 2996

Merit: 2374

Quote from: gentlemand on December 03, 2017, 09:09:59 AM

https://twitter.com/MrChrisEllis/status/936686197593853952

Bloomberg will be running a feature on someone who tried and failed to get real USD out of Tether. I assume he wasn't one of their 'institutional investors'.

Interesting to see how BFX will respond. They're using the old KYC chestnut.

Bitfinex is usually the entity purchasing USDT from tether, in response to customer withdrawal requests of USDT, who generally send those USDT to other exchanges.

There is fairly clearly a smear campaign against bitfinex that has been going on for a long time now. It would not be crazy to suggest that whoever is behind the smear campaign bought up $1,000,000 worth of USDT with the intention of trying to redeem them without giving up KYC documentation.

mayax

legendary

Activity: 1470

Merit: 1004

Quote from: gentlemand on December 03, 2017, 09:09:59 AM

https://twitter.com/MrChrisEllis/status/936686197593853952

Bloomberg will be running a feature on someone who tried and failed to get real USD out of Tether. I assume he wasn't one of their 'institutional investors'.

Interesting to see how BFX will respond. They're using the old KYC chestnut.

it is very strange that KYC procedure is made by an illegal company without any financial license.

KYC/AML procedures must be made by a KYC officer according to the gov. authority who give you the license. How can you trust your ID and other docs to shit like Bitfinex or other illegal exchangers?

Bitfinex is out of law even in BVI where they are registered. BVI requires a financial license for the services that Bitfinex is doing.

gentlemand

legendary

Activity: 2590

Merit: 3015

Welt Am Draht

https://twitter.com/MrChrisEllis/status/936686197593853952

Bloomberg will be running a feature on someone who tried and failed to get real USD out of Tether. I assume he wasn't one of their 'institutional investors'.

Interesting to see how BFX will respond. They're using the old KYC chestnut.

TheQuin

hero member

Activity: 2576

Merit: 883

Freebitco.in Support https://bit.ly/2I9BVS2

Quote from: mayax on December 03, 2017, 06:09:07 AM

Remember , Bitfinex/Tether lost their bank accounts since April.

Untrue. Tether's banks stopped accepting international wire transfers due to a wider banking issue in Taiwan that also affected other companies there. Those that could use intermediary banks were still able to deposit and withdraw. Bitfinex has recently reopened its USD withdrawal and deposits as well as adding EUR.

Quote from: mayax on December 03, 2017, 06:09:07 AM

Tethers are not being printed based on people buying Tethers. Tethers are printed are not backed by USD in a bank account.

This is complete speculation not based on any fact and as you well know the existence of the USD backing Tethers has recently been verified by a reputable New York accountancy firm.

Quote from: mayax on December 03, 2017, 06:09:07 AM

Tether is a fraud like Bitfinex. You don't need to much knowledge to see that; you just have not being blind

You have to willfully misrepresent the facts to make a case for that. Anyone would need to be blind not see that your case is only made by leaving out part of the information.

mayax

legendary

Activity: 1470

Merit: 1004

670 Million Tethers out of 814 million tethers on margin markets

200 million Tethers generated since Nov 17, 2017

Remember , Bitfinex/Tether lost their bank accounts since April.

Tethers are not being printed based on people buying Tethers. Tethers are printed are not backed by USD in a bank account.

Tether is a fraud like Bitfinex. You don't need to much knowledge to see that; you just have not being blind

TheQuin

hero member

Activity: 2576

Merit: 883

Freebitco.in Support https://bit.ly/2I9BVS2

Quote from: mayax on December 02, 2017, 03:49:06 PM

The 'institution' buying the worthless Tethers, is Bitfinex themselves. Using customer funds to buy worthless Tethers from a company owned and controlled by the Bitfinex executives.

If you read the whole paragraph it clearly explains that Bitfinex buys the Tethers with its customers USD when they want to withdraw in USDT. By definition, if customers are buying Tethers they are not worthless.

Quote from: mayax on December 02, 2017, 03:49:06 PM

Another $25m fraudulent Tether fresh off the printer:

Obviously, there is nothing remotely fraudulent about that.

Quote from: mayax on December 02, 2017, 03:49:06 PM

BTC price will rise again. Cheesy

Yes.

mayax

legendary

Activity: 1470

Merit: 1004

Another $25m fraudulent Tether fresh off the printer:

http://omnichest.info/lookupadd.aspx?address=3MbYQMMmSkC3AgWkj9FMo5LsPTW1zBTwXL

BTC price will rise again. Cheesy

The 'institution' buying the worthless Tethers, is Bitfinex themselves. Using customer funds to buy worthless Tethers from a company owned and controlled by the Bitfinex executives.

mayax

legendary

Activity: 1470

Merit: 1004

Quote from: HeRetiK on November 27, 2017, 02:51:38 PM

Quote from: mayax on November 27, 2017, 09:50:45 AM

Tether has added 50M USDT tokens in the past 24 hours! Grin

http://omnichest.info/lookupadd.aspx?address=3MbYQMMmSkC3AgWkj9FMo5LsPTW1zBTwXL&

They print shitloads. Then they will short bitcoin to hell or some kind of ‘hack’ will take place. Roll Eyes

The price of BTC will usually increase within 5-6 hours of the Tether being printed. The Bitfinex pumping is doing a huge bubble and the sheep are passive as usual

Bitfinex = Tether = criminals

I still think that USDT / Bitfinex is only partially responsible for Bitcoin's growth this year. The market was ready for Bitcoin's re-awakening and that's how we got here.

Still, it does indeed look like USDT is heading for an iceberg. Question being whether Bitcoin is on the same ship or if Bitfinex is going to be the only casualty.

mysterious institutions are buying hundreds of millions of Tethers from an unlicensed company, hacked three times now and never provided a single answer about the so called "authorities investigation", and then a FOMO (fear of missing out man) buying Bitcoins on their exchange.

totally plausible. Cheesy

Quickseller

copper member

Activity: 2996

Merit: 2374

Quote from: mayax on November 30, 2017, 02:20:10 AM

Quote from: Quickseller on November 29, 2017, 09:43:20 PM

Quote from: Pab on November 29, 2017, 09:07:20 PM

Bitfinex didnt pay his hosting bill in Italy and run away.Itaian National judge will investigate that case

https://twitter.com/jnardiello/status/936031581810184193

I don't think that person is very credible to be honest.

I don't think you are honest too. You always defend the fraudsters from Bitfinex without having any argument. Are you part of their criminal gang or what?

That guy alleges to be a former engineer for bitfinex, but he also has tweeted several anti-bitfinex tweets, which at best shows a negative bias towards his claimed former employer.

Also, it is my understanding that bitfinex paid to keep its prior servers intact for evidentiary purposes after last August's hack, so his claim is likely to be false anyway.

mayax

legendary

Activity: 1470

Merit: 1004

Quote from: Quickseller on November 29, 2017, 09:43:20 PM

Quote from: Pab on November 29, 2017, 09:07:20 PM

Bitfinex didnt pay his hosting bill in Italy and run away.Itaian National judge will investigate that case

https://twitter.com/jnardiello/status/936031581810184193

I don't think that person is very credible to be honest.

I don't think you are honest too. You always defend the fraudsters from Bitfinex without having any argument. Are you part of their criminal gang or what?

Quickseller

copper member

Activity: 2996

Merit: 2374

Quote from: Pab on November 29, 2017, 09:07:20 PM

Bitfinex didnt pay his hosting bill in Italy and run away.Itaian National judge will investigate that case

https://twitter.com/jnardiello/status/936031581810184193

I don't think that person is very credible to be honest.

Pab

legendary

Activity: 1862

Merit: 1012

Bitfinex didnt pay his hosting bill in Italy and run away.Itaian National judge will investigate that case

https://twitter.com/jnardiello/status/936031581810184193

mayax

legendary

Activity: 1470

Merit: 1004

Quote from: gentlemand on November 27, 2017, 08:19:43 PM

Quote from: mayax on November 27, 2017, 07:33:49 PM

facts :

https://medium.com/@michaelx777/is-tether-being-used-for-money-laundering-34b29fdc2b74

Um, started off OK and then finished with a Bitshares shillfest.

Crypto writers really need to up their subtlety more than few tads.

Anyway here's some more fun comments from a BFX employee - https://www.reddit.com/r/BitcoinMarkets/comments/7fsfwl/daily_discussion_monday_november_27_2017/dqfjo1s/?context=3

the essence remains.

Bitfinex is a disease, a criminal organisation. this is not tads (SF stories)

gentlemand

legendary

Activity: 2590

Merit: 3015

Welt Am Draht

Quote from: mayax on November 27, 2017, 07:33:49 PM

facts :

https://medium.com/@michaelx777/is-tether-being-used-for-money-laundering-34b29fdc2b74

Um, started off OK and then finished with a Bitshares shillfest.

Crypto writers really need to up their subtlety more than few tads.

Anyway here's some more fun comments from a BFX employee - https://www.reddit.com/r/BitcoinMarkets/comments/7fsfwl/daily_discussion_monday_november_27_2017/dqfjo1s/?context=3

mayax

legendary

Activity: 1470

Merit: 1004

facts :

https://medium.com/@michaelx777/is-tether-being-used-for-money-laundering-34b29fdc2b74

HeRetiK

legendary

Activity: 3122

Merit: 2178

Playgram - The Telegram Casino

Quote from: deisik on November 27, 2017, 03:57:24 PM

Is there anything like EUROT?

Or is it just a matter of time till it comes about? [...]

I've seen NZDT (New Zealand Dollar Token) based on the WAVES platform being used / issued by cryptopia.co.nz, but that seems to be only exchange supporting this token -- well, apart from the WAVES trading platform itself, I suppose.

EURT may just be a matter of time, but so far I don't see any likely issuers. The only exchanges that I can think of right now that support EUR trading are linked to the traditional banking anyways, fairly transparent and fully AML / KYC compliant -- which makes issuing something like EURT an unnecessary evil.

Quote from: gentlemand on November 27, 2017, 04:15:11 PM

[...]

It's easy to forget how big USDT is with alts. There might be more of an effect on them, but nothing would get out of it unscathed.

Indeed, I also think that alts will get hit harder by a possible USDT collapse than BTC. Most alts are traded on exchanges that can be only reached via BTC or USDT in the first place.

Topic: Bitfinex - FRAUD, price manipulation, fake transactions - page 6. (Read 4931 times)