By CCN.com: According to Zirui Zhang, the head of business development at Neutral Project, a stablecoin backed by Sequoia Capital, a major venture capital firm with $1.4 trillion of market value, some crypto exchanges in China has listed Bitfinex token futures contracts.
Latest: some exchanges in China already listed #bfx token’s futures contract… people are trading over there based on the assumption that there’s not enough evidence and court will delay its decisions… 🤔 #USDT #Tether pic.twitter.com/qHipAaqKv1
— Zirui 🧜🏻♀️ (@zirui_z) May 2, 2019
On April 30, CCN reported that Dong Zhao, a billionaire investor in Bitfinex, disclosed the plan of the exchange to create an exchange-based token following the $900 million Tether scandal.
At the time, Zhang said that some big whale investors in Asia reserved $300 million in allocations for the proposed token distribution.
As extensively reported by CCN, on April 25, the office of the New York Attorney General Letitia James sued iFinex, the company that oversees Tether and Bitfinex, alleging Bitfinex of mismanaging $900 million of Tether’s cash reserves in an attempt to “cover-up” its $850 million loss.
The Attorney General alleged that Bitfinex sent $850 million to a Panama-based “bank” called Crypto Capital to process payments but failed to recoup the funds.
The document released by the Attorney General’s office read:
In order to fill the gap, executives of Bitfinex and Tether engaged in a series of conflicted corporate transactions whereby Bitfinex gave itself access to up to $900 million of Tether’s cash reserves, which Tether for years repeatedly told investors fully backed the tether virtual currency ‘1-to-1,’” the official document released by the Attorney General’s office read.
To recover the $900 million Bitfinex borrowed from Tether, which sparked controversy because the firm did not disclose the dealing to the users of the exchange, Bitfinex reportedly has been…