BitMEX to Pay $100 Million to Resolve Regulator’s Lawsuit Over Crypto Derivatives Trading
Deal requires cryptocurrency exchange to block U.S. residents from using trading platform
WASHINGTON -- One of the world’s largest cryptocurrency exchanges has agreed to pay $100 million to resolve a regulatory lawsuit over its failure to follow U.S. rules while allowing Americans to access its trading platform.
BitMEX, which offers leveraged trading in bitcoin and other cryptocurrency derivatives, had been sued by the Commodity Futures Trading Commission last year. Its four co-founders were indicted at the same time for their alleged roles in failing to use an effective anti-money-laundering program. They have pleaded not guilty.
BitMEX, which was incorporated in the Seychelles, has also agreed to prevent U.S. residents from using its trading services, the CFTC said in a press release Tuesday.