An Open Letter From Bitfinex
20 December 2022 in Media Releases
As one of many world’s oldest and best-known digital asset buying and selling platforms, Bitfinex is not any stranger to bear markets. Even for us, although, 2022 will go down as an unusually dramatic yr.
A month after the demise of FTX, now appears an applicable second to mirror on the place we stand as an trade, a number of the classes from the previous yr and, most significantly, the course we see ourselves headed.
An annus horribilis
The collapse of FTX, the meltdown earlier within the yr of Terra Luna and corporations like Three Arrows Capital, in addition to quite a few main hacks of Decentralised Finance platforms, have led to billions in buyer losses, shaking confidence in digital belongings and blockchain know-how. In addition to considerably eroding belief, it’s not stunning that current occasions have prompted many to query whether or not our trade has any future in any respect.
As an organization that’s lived, developed and grown stronger by means of a number of downturns available in the market, we consider the longer term for our trade is brighter now than ever. Certainly, the a number of crises we’ve got seen this yr will in hindsight mark an inflection level separating the strongest corporations that deliver actual worth to their clients and people that don’t.
There’s no query that the previous yr has uncovered irresponsible, unethical and, in some circumstances, outright felony behaviour that deserves to be condemned within the harshest phrases. It will be improper, nevertheless, to let the reckless acts of some relative latecomers outline the crypto trade and detract from the large, revolutionary advantages provided by blockchain know-how and, particularly, Bitcoin.
In any case, all through all the pieces that’s occurred over the previous yr, Bitcoin – the world’s oldest, largest and most trusted digital asset – has remained past reproach. Its core worth proposition as a instrument of particular person freedom and monetary inclusion stays the identical because it was when it was first unveiled virtually 15 years in the past. The world over, Bitcoin adoption continues to develop, underpinned largely by the fast evolution of the Lightning Community, which has considerably enhanced Bitcoin’s potential to scale. As a long-time Lightning supporter, we stay consistently amazed on the tempo of its growth and excited for its potential to remodel lives, not least for billions worldwide who for years have been uncared for by conventional finance.
Values that outline you
Bitfinex is not any stranger to adversity. It’s our relentless concentrate on profitable the belief of our clients, nevertheless, that’s ensured our longevity. Since we had been established in 2012, we’ve got seen many crypto winters and lots of crises – means earlier than FTX, Luna and 3AC emerged on the scene. However we and others with related tenure in our trade have weathered these storms.
It’s because at Bitfinex, we’ve got remained true to the values of transparency, accountability and honesty that embody Bitcoin. It’s due to Bitcoin that we began our enterprise, and it’s Bitcoin, with its potential to supply an economical resolution to the unbanked, that gives belief and transparency that’s unquestionable and incorruptible.
Earlier this yr we unveiled our Freedom Manifesto to specific our values and our goal, that are very a lot an extension of the Bitcoin ethos. On the coronary heart of our manifesto is our conviction that Bitcoin, along with decentralised peer-to-peer know-how corresponding to our lately launched encrypted video conferencing app, Keet, can deliver freedom and privateness to individuals worldwide.
In our trade, Bitfinex is likely one of the oldest corporations, and one of many largest by trade traded quantity – however we’re additionally one of many smallest by headcount, and we’ve got a really sturdy tradition underpinned by our values. At our core, we’re white hat hackers who need to construct unbeatable and indestructible software program that may deliver profit to individuals. We merely need to harness the know-how that Bitcoin represents and use it to deliver extra alternative for people to transact and work together freely, wherever they’re and with whoever they want.
2022 will probably be seen as a watershed yr
Whereas 2022 will not be a yr that anybody will look again on with relish, it has been helpful in performing as a litmus check to separate these tasks that add worth, and those who fall wildly far off the mark.
Many are actually calling for extra applicable regulation. Bitfinex is dedicated to working to additional the event of the digital asset trade in a accountable means and we welcome regulation that helps a versatile, risk-based strategy to client safety. Crucially nevertheless, regulation shouldn’t stifle innovation and ingenuity. It’s important that each one events take a measured and balanced strategy to keep away from extreme regulatory generalisation, and recognise that the remoted actions of dangerous actors shouldn’t overshadow all the great work that’s being achieved by teams like Bitfinex. Innovation is the hallmark of the trade and it needs to be nurtured and inspired in order that extra worth will be dropped at communities around the globe from Bitcoin and blockchain applied sciences. Finished proper, regulation can defend the pursuits of consumers, whereas permitting the trade to thrive.
In order we look ahead to 2023, we hope for a yr of larger innovation, extra transparency, freedom for everybody not served by conventional applied sciences and monetary programs, and an finish to practices which have tarnished our trade and obscured the promise that it holds.
Based in 2012, Bitfinex is a digital token buying and selling platform providing state-of-the-art companies for merchants and international liquidity suppliers. Along with a collection of superior buying and selling options and charting instruments, Bitfinex gives entry to peer-to-peer financing, an OTC market and margin buying and selling for a wide array of digital tokens. Bitfinex’s technique focuses on offering unparalleled assist, instruments, and innovation for knowledgeable merchants and liquidity suppliers around the globe. Go to www.bitfinex.com to study extra.