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) $8,369.68 (+0.53%)
  • Ethereum (ETH) $161.64 (+1.13%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $313.45 (+1.80%)
  • Bitcoin SV (BSV) $262.96 (+2.12%)
  • Bitcoin (BTC) $8,369.68 (+0.53%)
Jan 24, 2020 (Friday)
12:24
Ripple CEO Brad Garlinghouse hints at the possibility of IPO
11:51
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
11:50
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
11:37
Japan ruling party lawmakers to propose digital yen in February: Report
11:00
Hackers becoming more sophisticated as crypto exchanges bolster security measures: Chainalysis
10:24
Crypto Technicals: XRP/USD slips below 21-EMA, more weakness to follow
10:23
Tether launches new stablecoin backed by physical gold
09:49
Crypto exchange ErisX partners with Etale to offer new trading features
09:23
World Economic Forum launches blockchain-based supply chain traceability platform
08:17
Crypto Technicals: LTC/USD holds above 51 mark, finds strong support at daily cloud
07:36
Liechtenstein's Financial Market Authority approves ethereum-based real estate tokenized fund
06:57
Greece to extradite alleged BTC-e operator Alexander Vinnik to France after supreme court ruling
05:26
Agribusiness blockchain initiative Covantis selects ConsenSys as technology partner
04:44
Crypto exchange Binance invests in blockchain startup Numbers
04:24
Crypto Technicals: ETH/USD holds above 21-EMA and cloud support, further weakness on charts
04:23
Indian IT firm Mphasis to develop blockchain privacy-enhancing tech solutions with QEDIT
04:04
Crypto Technicals: BTC/USD extends weakness, eyes next major support at 110-EMA (8134)
Jan 23, 2020 (Thursday)
13:26
Amun lists inverse bitcoin ETP on SIX Swiss Exchange
12:32
World Economic Forum creates framework to help central banks design and deploy CBDC
11:52
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft