Ethfinex Executive Goes Out on a Limb, Says Bitfinex Won’t Be Exclusive in Dealing with Regulatory Battles

Bitfinex, a cryptocurrency exchange platform recently, has been through legal tussles with the New York Attorney General.

However, it's partner cryptocurrency exchange, Ethfinex, which enables transactions with ERC-20 tokens has stated that Bitfinex won't be the only crypto exchange under regulatory scrutiny.

No Platform Is Safe

Will Harborne, Ethfinex’s Co-founder said

“At the end of the day, yes I do think although Bitfinex is in the headlines right now, there will be others and I think probably the level of scrutiny Bitfinex gets is the same as what other exchanges, at least in the U.S. or with any U.S. nexus, are getting,”

He believes that the regulatory bodies are making some sort of statement by the Bitfinex scrutiny and other crypto exchanges should expect similar scrutiny if they are perceived as bodies without clear regulatory guidelines.

Definitive Guidelines

Although Harborne isn't saying all other platforms will face such treatment for the same reasons, however, they will remain at the mercy of these bodies as they decide on the guidelines of the emerging cryptocurrency industry.

Harborne stated:

“Partly what is going on right now is the power play between various U.S. regulators over who has the real jurisdiction to go after [exchanges], particularly exchanges that don’t even operate in the U.S., and the New York AG would like to say that it was them,”

In addition, he said :

“That’s what makes it a very public statement and go for Bitfinex. I think others (law enforcement agencies) are also making a similar move under the scenes. That’s understandable, but I don’t think it is just going to be Bitfinex.”

Tokinex

On Tuesday, 21st of May, the management of Bitfinex and Ethfinex, amidst their current tussle with the New York Attorney General, launched their IEO (Initial Exchange Offering), Tokinex.

A lawsuit was filed against Bitfinex by the New York Attorney General a few weeks back for allegedly covering up the loss of 850 million dollars and withholding relevant documents.