đ„đ„đ„ #LEO Price Soars As #Bitfinex. Could Soon Reclaim $BTC From 2016 Hack
LEO Price Soars After US Government's Statement on Bitfinex Bitcoin Hack Compensation
- The price of LEO has surged following news that the US government considers Bitfinex to be the sole entity eligible for compensation related to the 2016 Bitcoin hack. As the utility token of the Bitfinex ecosystem, LEO has seen a price boost amid this potential recovery.
LEO Price Spikes on Bitfinex's Potential Bitcoin Recovery
- LEOâs price climbed to a monthly high of $6.50 after a recent US government filing suggested that Bitfinex may soon recover part of the Bitcoin lost in the 2016 hack. Court documents indicate that the government does not recognize any other party besides Bitfinex as a victim under the Crime Victimsâ Rights Act and the Mandatory Victims Restitution Act (MVRA).
- This development stems from the case against Ilya Lichtenstein, who was arrested for allegedly laundering the stolen bitcoins. Since his arrest in 2022, the US government seized 94,643 BTC from him. With the latest filing, Bitfinex could potentially reclaim these bitcoins, currently valued at around $5.8 billion.
- Bitfinex has previously received funds from US authorities. In 2023, the exchange announced it had reclaimed $312,219.71 in cash and 6.917 BCH from the Department of Homeland Security (DHS) as part of ongoing recovery efforts.
How Could This Impact Bitcoin Prices?
- If Bitfinex recovers the bitcoins, concerns may arise about how it handles the funds and their impact on Bitcoin's price. Bitfinex might use the recovered BTC to redeem Recovery Right Tokens (RRTs) issued after the 2016 breach. Meanwhile, the US government may sell 69,370 BTC following a Supreme Court decision, but an immediate sale is unlikely due to pending processes.
Source - coingape.com
