An Open Letter From Bitfinex
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 12 months.
A month after the demise of FTX, now appears an acceptable second to mirror on the place we stand as an trade, among the classes from the previous 12 months and, most significantly, the path we see ourselves headed.
An annus horribilis
The collapse of FTX, the meltdown earlier within the 12 months 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 shocking that latest 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 a number of downturns out there, we imagine the longer term for our trade is brighter now than ever. Certainly, the a number of crises we’ve got seen this 12 months will in hindsight mark an inflection level separating the strongest firms that carry actual worth to their prospects and people that don’t.
There’s no query that the previous 12 months has uncovered irresponsible, unethical and, in some circumstances, outright felony behaviour that deserves to be condemned within the harshest phrases. It will be unsuitable, nonetheless, to let the reckless acts of some relative latecomers outline the crypto trade and detract from the big, revolutionary advantages provided by blockchain know-how and, particularly, Bitcoin.
In spite of everything, all through every part that’s occurred over the previous 12 months, 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 speedy evolution of the Lightning Community, which has considerably enhanced Bitcoin’s means to scale. As a long-time Lightning supporter, we stay continually 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 deal with successful the belief of our prospects, nonetheless, that’s ensured our longevity. Since we had been established in 2012, we’ve got seen many crypto winters and plenty of crises – approach earlier than FTX, Luna and 3AC emerged on the scene. However we and others with comparable tenure in our trade have weathered these storms.
It is 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 means to supply a cheap resolution to the unbanked, that gives belief and transparency that’s unquestionable and incorruptible.
Earlier this 12 months we unveiled our Freedom Manifesto to specific our values and our objective, 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 reminiscent of our just lately launched encrypted video conferencing app, Keet, can carry freedom and privateness to individuals worldwide.
In our trade, Bitfinex is among the oldest firms, and one of many largest by alternate traded quantity – however we’re additionally one of many smallest by headcount, and we’ve got a really robust tradition underpinned by our values. At our core, we’re white hat hackers who need to construct unbeatable and indestructible software program that may carry profit to individuals. We merely need to harness the know-how that Bitcoin represents and use it to carry extra alternative for people to transact and work together freely, wherever they’re and with whoever they want.
2022 can be seen as a watershed 12 months
Whereas 2022 just isn’t a 12 months that anybody will look again on with relish, it has been helpful in performing as a litmus check to separate these initiatives that add worth, and those who fall wildly far off the mark.
Many at the moment are calling for extra acceptable regulation. Bitfinex is dedicated to working to additional the event of the digital asset trade in a accountable approach and we welcome regulation that helps a versatile, risk-based strategy to client safety. Crucially nonetheless, regulation mustn’t stifle innovation and ingenuity. It’s important that every one events take a measured and balanced strategy to keep away from extreme regulatory generalisation, and recognise that the remoted actions of unhealthy actors mustn’t overshadow all the great work that’s being accomplished by teams like Bitfinex. Innovation is the hallmark of the trade and it ought to be nurtured and inspired in order that extra worth could be delivered to communities world wide from Bitcoin and blockchain applied sciences. Accomplished proper, regulation can shield the pursuits of consumers, whereas permitting the trade to thrive.
In order we look ahead to 2023, we hope for a 12 months of larger innovation, extra transparency, freedom for everybody not served by conventional applied sciences and monetary techniques, and an finish to practices which have tarnished our trade and obscured the promise that it holds.
About Bitfinex
Based in 2012, Bitfinex is a digital token buying and selling platform providing state-of-the-art providers for merchants and international liquidity suppliers. Along with a set 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 big selection of digital tokens. Bitfinex’s technique focuses on offering unparalleled help, instruments, and innovation for skilled merchants and liquidity suppliers world wide. Go to www.bitfinex.com to be taught extra.
