What Bitfinex did today, as leader of the USD market by volume, is bordering on criminal. They:
- Halted trading at a price point of 715
- Shut down the site entirely, disallowing users to withdraw BTC
- Kept the site on lockdown for several hours while BTC was tanking
- Resumed trading when BTC was at a considerable lower price point across all other exchanges (~650 USD)
Not only were people not able to trade, they were specifically disallowed withdrawing BTC so they could trade on other sites.
Yes, people were allowed to cancel orders for 15 minutes prior, but what about this specifically:
Stop loss orders! These are usually set-up when people have to be away for a while. It's to avoid losses, for example when the price crashes 10 USD and you don't want to lose any more. Todays action specifically turned "stop-loss" in guaranteed triggered sales upon re-opening of the site. The market was taken offline so stop-loss couldn't be triggered at specified price point, in the meantime the market crashes, and upon reopening to add insult to injury if you weren't there at those 15 specific minutes your stop-loss was going to guaranteed trigger and force you to sell at the bottom just because Bitfinex took the liberty to take the site offline, wait for the market to crash and reopen it then, while first allowing people to remove liquidity from the orderbook. Pardon my words but THAT IS FUCKING CRIMINAL.
yes I'm mad. No I didn't lose money in stop-loss, i lost money because i was not allowed to have my BTC when they fucked their trading engine. I saw the market slide yet could do nothing.
If this doesn't tell all of us to stay the fuck away from Bitfinex in the future, I don't know what will.