The risks associated with buying EOS from an exchange - Bitfinex

Hi All ..

So I have recently bought EOS from Bitfinex. I have in fact done this on 3 separate occasions without any issues. My problem is, Bitfinex does not appear to honour my largest EOS withdrawal request.

Below are the details:

The withdrawal was sent to the same address as the other previous smaller successful and subsequent ones that went through without any issues.

I am provided with a TXID but when looking it up on ETH scanners there is no record to be found, so I believe it is most likely still stuck with Bitfinex.

I am writing this post for a few reasons:

  1. I don't want to lose my EOS tokens, and so any advice would be much appreciated as Bitfinex support is ignoring my ticket. The advice so far has been to just wait, but naturally I am getting a bit worried.
  2. Although EOS is clearly a tradable token on exchanges I wanted to warn others about the risks of buying EOS from an exchange, especially from Bitfinex, and in particular closer to the token distribution end date.
  3. Based on point 2 above - I believe there should be some safety nets in place prior to the end of the distribution in case new token holders are faced with such issues, and in case there tokens will not be released in time for the snapshot.

My own situation makes me wonder what will happen if (1) - someone buys EOS on the last day of the distribution, but it takes 2 weeks for the transaction to show up and clear in the destination address due to the ETH network being slow. (2) - If there were any (I doubt it) safety nets in place should exchanges be too slow to release the tokens prior to the snapshot. and (3) - The answer is probably a firm No, but any safety nets in place should an exchange go bust with your tokens.

Thoughts appreciated, but I hope this also serves as a reminder that using the official EOS distribution method is better, even though the ETH network could cause problems of it's own.

Comments

  • The the spirit of transparency - my EOS coins have now arrived -- however, probably still worth discussing what happens if users face this type of delay right at the end of the distribution period.

  • KevKev
    edited January 2018

    @themarketbank said:
    The the spirit of transparency - my EOS coins have now arrived -- however, probably still worth discussing what happens if users face this type of delay right at the end of the distribution period.

    There are a lot of rumors swirling around Bitfinex and their liquidity issues, their potentially shady practices involving Tether - none of it is confirmed so I won't launch into that debate here, but if you want to learn about Bitfinex's issues from a powerful watchdog on Twitter go to https://mobile.twitter.com/Bitfinexed

    **EDIT and thank goodness you got your coins back! I prefer Binance, haven't had any issues with them.

  • @Kev said:

    @themarketbank said:
    The the spirit of transparency - my EOS coins have now arrived -- however, probably still worth discussing what happens if users face this type of delay right at the end of the distribution period.

    There are a lot of rumors swirling around Bitfinex and their liquidity issues, their potentially shady practices involving Tether - none of it is confirmed so I won't launch into that debate here, but if you want to learn about Bitfinex's issues from a powerful watchdog on Twitter go to https://mobile.twitter.com/Bitfinexed

    **EDIT and thank goodness you got your coins back! I prefer Binance, haven't had any issues with them.

    thanks Kev, yes I'm happy that I got my coins ..phew and I stumbled upon the twitter link you sent in my rage lol.

    Anyway, thanks for the moral support - Bitfinex has actually just issues this today:

    https://www.bitfinex.com/posts/registrations-reopen

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