Last year, Bitfinex chose to sever relations with customers in the United States. Now the fourth-largest cryptocurrency exchange is losing their chief strategy officer (CSO), Phil Potter.
The ongoing regulatory overtures by the US government has had some consequences. One such consequence was that Bitfinex, the world’s fourth-largest cryptocurrency exchange, decided to no longer do business with individuals from the USA back in August 2017.
CSO Leaving
Now, another consequence of the exchange turning away from working with the US is happening. The company’s chief strategy officer, Phil Potter, is leaving the company.
In a statement, he says:
As Bitfinex pivots away from the U.S., I felt that, as a U.S. person, it was time for me to rethink my position as a member of the executive team.
In addition to leaving the exchange, Potter is also leaving his post as CSO for Tether, the stablecoin that is an affiliate of Bitfinex.
Jan Ludovicus van der Velde, chief executive officer of Bitfinex and Tether Ltd., states:
Phil has been instrumental in developing our business as a key senior team member over the past four years. Bitfinex will continue to focus on strategic global initiatives while Phil pursues other opportunities.
Interesting Times for Bitfinex
The Hong Kong-based cryptocurrency exchange has had an eventful 2017 and 2018. In April 2017, US-based Wells Fargo bank cut off the exchange from any financial services, which was then followed by a Taiwanese bank doing the same.
Bitfinex eventually found a bank in Puerto Rico willing to work with them, and then the exchange announced plans back in March to relocate to Zug, Switzerland. Earlier this month, the exchange temporarily shut down due to a cyber attack.
Questions about Tether have also dogged the exchange. There were questions that the stablecoin did not have the cash reserves to back the coin on a dollar-per-coin basis. Tether has denied such claims, releasing an analysis by a law firm to refute such charges.
Tether was also brought up in a study from the University of Texas. The study claimed that the price of Bitcoin was manipulated last year through the use of major Tether buys. Those claims have been denied as well.
What do you think about Bitfinex losing their CSO? Let us know in the comments below.
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