Bitfinex Rolls Out ‘New, Improved and Increasingly Resilient’ Fiat Deposit System

| Updated
by Sofiko Abeslamidze · 3 min read
Bitfinex Rolls Out ‘New, Improved and Increasingly Resilient’ Fiat Deposit System
Photo: Bitfinex / Facebook

Bitfinex resumes users’ fiat deposits introducing a new, improved and increasingly resilient distributed banking system for sending fiat currencies to the exchange.

Almost a week has passed since the exchange halted users’ fiat deposits following an announcement of the Noble Bank bankruptcy that resulted into another lost for sustainable banking services and therefore inevitable delays into exchange transactions.

Obviously, the Bitfinex inability to process users’ fiat deposits might be converted into huge money losses and an outflow of customers, since the exchange daily sees about $544 million in volume, which is second only to Binance.

Losing Streak of Banking Afflictions

Previously Coinspeaker reported that Bitfinex found a replacement for an infamous Puerto-Rico’s bank as it has partnered with a $133 billion-worth banking giant HSBC. However, some say this collaboration severed so quickly that until today it’s not clear whether HSBC was aware that it was holding Bitfinex funds when the account was opened.

Nevertheless today Bitfinex resumes users’ funding in U.S. dollars, pounds Sterling, Japanese yen and euros introducing a new, improved and increasingly resilient distributed banking system for sending fiat currencies to the exchange.

Currently, Bitfinex teams up with the controversial USDT stablecoin Tether and so far the exchange has not disclosed any of its banking partners that backed newly outrolling system, yet according to the Bitfinex official blogpost the exchange once again allow KYC-verified users from around the world to initiate deposits across forth-mentioned fiat currencies.

A Distributed Banking Solution

The new improved and resilient deposit process has been described as a distributed banking solution to restore the accounts of KYC-approved customers. Under the new system, eligible users must initiate a fiat deposit through their exchange accounts, which involves specifying the exact amount and currency they plan to deposit.

A meticulous review process can take up to 48 hours, then the cryptocurrency exchange will send the user a deposit notification approving the transfer and providing the bank details specific to that individual transaction. The minimum amount of deposit is $10,000 and it will subsequently be processed within 6-10 business days from Bitfinex.

Bitfinex claims the new system is providing an additional level of security that is very important during the times of increased hyper-attacks on the cryptocurrency exchanges. An exact from the announcement read:

“We believe this system to be significantly more durable in the face of sustained attacks by our competition and their supporters. Ongoing campaigns against us will only result in our company becoming stronger and better.”

Along with the new banking system and resuming fiat deposits, the circulating screenshots of the exchange platform also shows that there are new warnings for the customers specifically.

The page is dedicated to warning the users of the risks that come with crypto-exchange and how they have to prevent serious negative effects associated with personal information becoming public. Otherwise the consequences could damage not just a customer and Bitfinex, but the entire digital token ecosystem.

Bitfinex seems to be very careful about an exchange security level as the other day company has presented a reporting toolkit available for the exchange users. As Coinpeaker reported, a new set of tools is designed to help users gain greater control over their trades and give them useful insights into their activities on the trading platform.

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Sofiko Abeslamidze

Sofiko is a freelance fintech copywriter at Coinspeaker. With a Bachelor degree in International Business and Economics, Sofiko has been deepening her knowledge of an agile innovative industry primary focusing on the robust blockchain technology and cryptocurrencies. As a bank employee, Sofiko particularly keens on crypto and blockchain integration into the established banking systems.

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