BitMEX Settles Civil Charges With CFTC, FinCEN for $100 Million

The cryptocurrency exchange BitMEX has reached a $100 million settlement with the Commodity Futures Trading Commission and Financial Crimes Enforcement Network, according to a statement from the company.

This past fall, BitMEX was charged with intentionally evading U.S. regulations. Like most other popular crypto exchanges, BitMEX has its headquarters overseas; regulators alleged that the company allowed U.S. traders to use its platform without fully complying with anti-money laundering and know-your-customer requirements. In failing to collect certain identifying information about its customers, BitMEX violated the Bank Secrecy Act, according to the CFTC.

The exchange may have dealt with these civil charges from the CFTC and FinCEN, but there’s also a separate, ongoing criminal case against top BitMEX executives. “U.S. vs. Hayes et al.” remains in full swing: Arthur Hayes, once the CEO of BitMEX and a Bitcoin billionaire, turned himself in back in April, and will be tried next year.

Today’s consent order bars BitMEX from selling certain types of crypto investment contracts in the U.S. without registering with the CFTC.

10 August 2021 19:41