Bitfinext, the cryptocurrency exchange that has been plagued by recent hacking incidents, is set to sell some of its bitcoins to customers at a hefty discount.
The move is part of a strategy to diversify its business, which is expected to grow rapidly.
Bitcoin prices have surged more than 300% in the last month and the exchange, which was once the top exchange for buying and selling cryptocurrencies, is now trading at around $11,000.
The exchange also recently announced it would stop selling the virtual currency at a steep discount.
CoinDesk spoke to Bitfinexs chief executive officer David Vetter, who said the company had been looking to sell off some of the company’s bitcoins, but the company couldn’t make it happen at this time.
“We can’t make this transaction because we are currently under siege from a major hack, which we believe has been conducted by the Chinese government,” Vetter said in an interview with CoinDesk.
“There are no plans to sell any of our bitcoins to anyone.”
The exchange announced the sale of some of their bitcoins in August, saying it would hold onto its bitcoins until at least the end of October.
However, the company didn’t say when it would sell them off.
A day later, Vetter announced he had sold a portion of his bitcoins.
The sale has sparked concern among bitcoin enthusiasts and investors about Bitfinexes business model, with some seeing a potential conflict of interest because BitfineX is owned by the China-based financial services giant.
Bitfinexus is owned 50% by the Hong Kong-based investment bank HSBC Holdings Plc.
The bank, which has invested in bitcoin companies like CoinLab and ShapeShift, is one of many big names to step in to offer bitcoin services to the Chinese market.
The Chinese government has made efforts to restrict the use of bitcoin and other digital currencies, but some of that is likely to slow the growth of the cryptocurrency market.
“As we know that many Chinese banks are actively working on blockchain-based solutions, which will be of great use to Chinese banks,” said Vetter.
Bitstamp and ShapeShanghai, two other Chinese-backed bitcoin exchanges, have also come under fire for their services.
BitStamp is the biggest bitcoin exchange in the world, but its operations have come under increasing scrutiny.
In a statement, Bitfinexe said the bitcoin sale would allow it to “ensure its ability to remain the best platform in the industry”.
The company said it would continue to focus on its core business and will continue to expand its bitcoin trading platform.
Bitcoin is a digital currency that can be used to buy goods and services.
It can be bought online or through digital currency exchanges.
For most people, the value of bitcoins is around $20.
Bitfunder, another bitcoin exchange, currently offers a service for users to buy and sell bitcoin.
CoinLab, the first bitcoin exchange to be listed on the HongKong Stock Exchange, launched in August and has raised more than $1.6 million in funding.
ShapeShift was founded in 2013, and it launched last year.