Copy link
Increase text size
Decrease text size
Link copied

Crypto exchange Poloniex starts refunding investors impacted in May flash crash

Source: TradingView

Tue, 13 Aug 2019, 10:18 am UTC

Cryptocurrency exchange Poloniex has announced that it is crediting trading fees to lenders who were impacted in the severe price crash in the CLAM market on May 26.

Margin lenders on the platform had lost around 1,800 BTC (approximately $13.5 million at the time) due to the flash crash. Poloniex said at the time that the “velocity of the crash and the lack of liquidity in the CLAM market made it impossible for all of the automatic liquidations of CLAM margin positions to process as they normally would in a liquid market.”

Poloniex had socialized the losses with 0.4 percent of Poloniex users lost 16.202 percent of their funds held in the pool, CoinDesk reported.

In an online post dated August 13, the Circle-owned exchange said that it will cover lost funds by crediting trading fees back to impacted lenders through June 06. Earlier in June, Poloniex had distributed over 180 BTC proportionally across impacted lenders (representing about 10% of the generalized losses).

“Starting later in August, if you are an impacted lender, you will be credited your Poloniex trading fees until your losses are fully recovered. Every time you pay a trading fee, we will convert the fee to BTC and then credit you those fees each day. Your first credit will include all the trading fees you have paid since June 6, 2019,” the blog post reads.

Following the market crash, Poloniex removed margin trading for BTS, CLAM, FCT, and MAID in order to protect lenders.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $7,275.22 (+0.24%)
  • Ethereum (ETH) $144.65 (-0.37%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $212.01 (+1.81%)
  • Litecoin (LTC) $44.45 (+0.82%)
  • Bitcoin (BTC) $7,275.22 (+0.24%)
Dec 13, 2019 (Friday)
12:50
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
12:49
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
11:25
Crypto Technicals: BCH/USD edges above 5-DMA, near-term upside likely on break above 20-DMA (211.74)
11:24
Terra launches stablecoin-powered payments service in Mongolia
10:37
Crypto Technicals: Ripple (XRP) edges higher from session lows at 0.2154, 'Hammer' at lows raises scope for minor gains
10:22
Korean cybersecurity firm partners with R3 for digital asset management and MPC technology
08:55
SEC charges Shopin’ founder with orchestrating ICO fraud; Accused deactivates social media, Telegram account
08:55
Crypto exchange Kraken looking for operations director to helm ‘special-purpose depository institution’
07:49
Twitter looks to blockchain to decentralize social media
07:03
Crypto Technicals: LTC/USD flashes signs of recovery, 'Dragonfly Doji' and 'Bullish Divergence' could support minor upside
06:22
ING bank developing custody project for digital assets: Report
06:18
Basel Committee on Banking Supervision mulls designing global prudential standard for crypto-assets
05:28
Franklin Templeton leads blockchain-based social impact platform’s funding round
04:58
Crypto Technicals: BTC/USD breaks above 50H MA, 'Bullish Divergence' could support further gains
04:44
TokenSoft submits transfer agent filing to the SEC; Decision to arrive in 30 days
04:33
Crypto Technicals: ETH/USD recovery lacks traction, upside capped at 5-DMA
04:33
Glencore joins Responsible Sourcing Blockchain Network for tracing cobalt
03:24
Grant Thornton releases second report on Cryptopia liquidation; Pulls back nearly $5M from various sources
03:23
Chainalysis launches compliance solution for Bitfinex amidst class-action lawsuit
Dec 12, 2019 (Thursday)
15:04
Binance launches Latin American fiat gateway; adds new fiat payment options
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft