Embattled BTC-e Outlines Three-Stage Process for Bitcoin Exchange Relaunch

BTC-e has released a new update about its relaunch plans weeks after it was the target of a US crackdown.

Aug 30, 2017 at 5:05 p.m. UTC
Updated Sep 13, 2021 at 6:52 a.m. UTC

A forum account tied to the cryptocurrency exchange BTC-e has offered new details on how it plans to revive the services weeks after it was taken offline following a crackdown by US authorities.

In a new update, a representative for the long-running and infamous bitcoin exchange outlined how the relaunch would happen over a several week-period, occurring in three stages.

During the first part, user information will be transferred to an as-yet-unnamed company "in full compliance with the European directives on personal data and in compliance with European legislation in this field", according to the post. This is expected to be completed by September 15.

After that, an unnamed financial investment firm – referenced in past posts as a key part of the revival plan – will move to restructure the exchange's digital assets, as well as begin an accounting of the transferred user data. In the last stage, the investment firm will "audit and register personal data in accordance with AML laws and KYC identification procedures."

The representative went on to write (in a translated statement):

"In parallel with the legal issue of restructuring, users will be given the opportunity to check the integrity of the digital balance in the user's account, and users will be able to make changes in the security of the account. For chat and support, chat will be available. For these purposes, the service will be launched on the old domain (btc-e.nz). You will be able to log in and check your balance before recounting."

As CoinDesk previously reported, BTC- was targeted by US authorities earlier this summer. A Russian national was arrested in Greece on July 26, and later that day, the US unveiled a 21-count indictment against the exchange, as well as a $110 million fine for a host of alleged money laundering violations.

Yet just days after the crackdown, representatives for the exchange, taking to the Bitcoin Talk forum, pledged to revive the service and repay users who lost money when the exchange was seized. Part of that plan, subsequent updates revealed, includes the release of a blockchain-based debt token.

Image via Shutterstock

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