Bitfinex Exchange Invests Profits into Bitcoin
Bitfinex exchange and its closely affiliated company, the issuer of stablecoin Tether (USDT), have both disclosed investments in Bitcoin.
Bitfinex Exchange Invests Profits into Bitcoin. Image: Bloomberg
According to sources from The Block, Bitfinex exchange is investing in Bitcoin, although the exact amount has not been disclosed.
The sources further assert that Bitfinex has invested profits earned from transaction fees into Bitcoin, demonstrating a long-term commitment and trust in the future of the world's largest cryptocurrency.
This news comes shortly after Bitfinex's Chief Technology Officer, Paolo Ardoino, declared on Twitter on September 3 that "crypto exchanges have benefited from Bitcoin and therefore have policies to reinvest in this cryptocurrency," similar to Bitfinex.
Cryptocurrency exchanges, that hugely benefitted from #Bitcoin , should have a policy to reinvest part of the profits into #Bitcoin .
— Paolo Ardoino 🤖🍐 (@paoloardoino) September 3, 2023
That's what we do at @bitfinex
LN, RGB, Liquid, ...
Additionally, Bitfinex is supporting various other initiatives, including layer-2 solutions such as the Lightning Network and Liquid Network, along with the RGB protocol to facilitate cheaper and more private Bitcoin transactions, as well as supporting token issuance activities on the Bitcoin network.
As reported by Coin68, Bitfinex's sister company Tether holds the 11th largest Bitcoin reserves globally, with BTC holdings valued at $1.6 billion USD. This information was also confirmed by Tether in its Q2 2023 asset report.
Furthermore, Tether has announced plans to invest in Bitcoin mining operations and to establish mining facilities in Latin American countries.
