Bitfinex Margin Traders get liquidated - no reason

[Khaleesi]

http://www.newsbtc.com/2017/11/30/bitfinex-margin-traders-get-liquidated-no-reason/

“In most cases, Bitfinex users lost a lot of their account balances pretty quickly. It suddenly started to unravel several hours ago, yet the exact cause remains unknown. In fact, there are plenty of complaints to found on Twitter regarding these issues. Even stop-loss orders were liquidated at a much lower price than they should. This is unacceptable behavior by the exchange, to say the very least. Moreover, people would like to see an official explanation for this sudden odd occurrence.

More Bitfinex Issues to Worry About

More specifically, it remains to be seen if the company will refund users. Bitfinex has a bit of a troubled history when it comes to platform issues. They were hacked over a year ago, and the platform has seemingly never been the same ever since. This new “error” only makes this whole ordeal even more problematic. Throw in the allegations regarding Tether’s shenanigans and there is a powder keg waiting to explode. Using margin trading on any exchange is always a risk. Things like these can happen, which is why traders use stop-losses to minimize potential losses. In this case, that didn’t work out quite well.”

 

[Guest]

I am confident with the volatility over the last 24 hours many positions would have been liquidated below the stop losses, including on other exchanges. Something is clearly amiss though, when you have multiple reports such as with GDAX earlier this year, it tends to be exchange specific. Throw in the other issues voiced recently I would be staying clear of this exchange for a while or until some transparency takes place.

[Guest]

run away! it's going to come crashing down sooner or later

[Guest]

from $100k to having the position liquidated at -$30k over night, such is life for a margin trader.