March 4, 2024

Can Bitfinex manage the Bitcoin exchange rate

Often the value of the main digital coin increases after Tether issues new USDT tokens ontens and hundreds of millions of dollars. We tell how these events are related.

In late November, Tether transferred to the Bitfinex exchange30 million USDT, 20 minutes after that, Bitcoin began to grow in price and went up from $ 6500 to $ 7200. At the moment, cryptocurrency is trading at $ 7160, a sharp drop in the asset, which lasted from the beginning of the month, has stopped.

Bitfinex accused of manipulating the main coursedigital coins for a long time. Last November, the US Department of Justice, together with the CFTC Commodity Futures Trading Commission, launched a criminal investigation into the exchange and Tether. U.S. authorities are trying to figure out how an additional issue of the USDT token could affect the growth of the Bitcoin exchange rate in 2017, when the asset went up by 20 times and set a value record of $ 20 thousand.

Financial Regulator Assumes Companiescould create artificial activity in the market to mislead traders. However, not only the US government suspects Bitfinex of illegal activities. In addition to unfounded accusations from the crypto community, this opinion is also expressed by professionals, for example, professors from the University of Texas or Bloomberg analysts.

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