Share this article
Bitfinex Draws Volume as Traders Test Experimental BFX Tokens
A market is developing for Bitfinex's newly issued equity tokens, with their value rising 4x in the hours after the troubled exchange's reopening.
Updated Sep 11, 2021, 12:26 p.m. Published Aug 10, 2016, 11:46 p.m.
A market appears to be developing for Bitfinex's newly issued debt tokens.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Distributed this week by the troubled exchange to users who lost funds in last week's $60m hack, the value of the cryptographic tokens rose sharply after the exchange resumed trading today.
The so-called "BFX tokens", a debt-based blockchain asset said to be convertible to equity in the Hong Kong-based business, started the day out at $0.10 and rose to as much as $0.40 over the course of the day's session.
This sharp price appreciation proved the most interesting development associated with Bitfinex's widely anticipated reopening, according to analysts.
Arthur Hayes, CEO of leveraged trading platform BitMEX, noted his interest in the strength of the market for the new coin, as others questioned why traders were returning to the exchange at all.
Hayes told CoinDesk:
"Even though Bitfinex explicitly said it has no obligations to ever pay back a dime to BFX token holders, traders still ascribe a healthy value to the token."
The exchange revealed 6th August that these tokens would be available for trade until Bitfinex either pays back its account holders or provides them with shares of iFinex, the BVI-based parent company of the exchange.
Bitfinex data reveals that the two currency pairs involving the token – BFX/USD and BFX/BTC – generated far greater trading volume than any other currency pairs between the exchange's reopening at 16:00 UTC and the time of the report.
BitMEX went so far as to launch a new futures contract, BFXQ16, which allows traders to speculate on BFX/USD's price movements with as much as 2.5 times leverage.
In spite of the token's strong price appreciation and robust transaction volume, market responses were mixed. Some emphasized that by issuing the new tokens, Bitfinex was distributing the first debt-based cryptocurrency, which triggered fears that the community was perhaps turning its back on earlier ideals.
Other market observers, including Whaleclub’s director of operations Petar Zivkovkski, voiced concerns that the market was being driven up by Bitfinex staff members as a means to buy back this equity at a lower value.
At press time, no other exchanges had announced support for the digital asset.
Mountain climbing image via Shutterstock
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Coinbase Sees Crypto Recovery Ahead as Liquidity Improves and Fed Rate Cut Odds Climb
The crypto exchange also took note of a so-called AI bubble that continues to go strong and a weaker U.S. dollar.
What to know:
- Coinbase Institutional is seeing a potential December recovery in crypto, citing improving liquidity and a shift in macroeconomic conditions that could favor risk assets like bitcoin.
- The firm's optimism is driven by rising odds of Federal Reserve rate cuts, with markets pricing in a 93% chance easing next week, and improving liquidity conditions.
- Several recent institutional developments, including Vanguard's crypto ETF policy reversal and Bank of America's greenlighting of crypto allocations, have contributed to bitcoin's rebound from recent lows.
Top Stories
