Bitfinex was able to raise a billion dollars that was presumably used to repay the loan to tether.
The NYAG action has more or less been won by Bitfinex -- they no longer have to produce documents to the NYAG, and the order obtained by the NYAG has been reduced to prohibit bitfinex and tether from conducting related party transactions for some number of months.
The NYAG action has more or less been won by Bitfinex -- they no longer have to produce documents to the NYAG, and the order obtained by the NYAG has been reduced to prohibit bitfinex and tether from conducting related party transactions for some number of months.
The fact that Bitfinex lost the $850M to begin with is alarming, though. They can't launch a token every time this happens. The market won't keep bailing them out -- it needs to not happen again. That risk is real.
The NYAG had no power to do anything. I don't even understand what they were trying to accomplish. I'd be a lot more concerned about federal agencies. They spend years building cases before pouncing. The CFTC investigation goes back something like 1.5 years.
