Babel Finance Loses $280 Million Of Client Funds – Bitcoin Magazine

• Babel Finance lost $280 million in customer funds from unsecured trading.
• The amount includes 8000 BTC.
• Babel is seeking a restructuring through convertible debt which will lead to creditors becoming shareholders.

Babel Finance, a cryptocurrency financial services firm, recently reported a staggering loss of its clients’ funds totaling over $280 million, according to a report by The Block citing a restructuring of the broker.

The firm lost 8,000 BTC and a significant amount of another token through leveraged positions it failed to hedge against – a reminder that users can never be completely sure of the safety of their bitcoin funds when they entrust them to a third party.