BitMEX Settles with US CFTC and FinCEN, Agrees to Pay $100 Million

Cryptocurrency Trading Platform Trading Platform In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real Read this Term BitMEX has settled with the US Commodity Futures Trading Commission (CFTC) and Financial Crimes Enforcement Network (FinCEN) in the context of an investigation pursued against five companies charged with operating the crypto trading platform. According to the company, they agreed to pay $100 million as a civil monetary penalty to resolve the charges.

“Today marks an important day in our company’s history, and we are very glad to put this behind us. As crypto matures and enters a new era, we too have evolved into the largest crypto derivatives platform with a fully verified user base. Comprehensive user verification, robust compliance and anti-Money Laundering Money Laundering Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Read this Term capabilities are not only hallmarks of our business – they are drivers of our long-term success,” Alexander Höptner, Chief Executive Officer of BitMEX, commented. The consent order was entered before the US District Court for the Southern District of New York. The companies involved were HDR Global Trading Limited, 100x Holding Limited, ABS Global Trading Limited, Shine Effort Inc Limited and HDR Global Services (Bermuda) Limited.

“This case reinforces the expectation that the digital assets industry, as it continues to touch a broader pool of market participants, takes seriously its responsibilities in the regulated financial industry and its duties to develop and adhere to a culture of compliance. The CFTC will take prompt action when activities impacting CFTC jurisdictional markets raise customer and consumer protection concerns,” Rostin Behnam, CFTC Acting Chairman, said in a press release.

A ‘New Chapter’

During the announcement, BitMEX’s team pointed out that such a resolution marks a 'new chapter' for the crypto firm. “Crypto is sparking fundamental change that isn’t going away. This technology is having incredible benefits for financial freedom, economic empowerment and investing. Just as NFTs are changing the art world, crypto will have a widespread positive impact in just about every industry imaginable, including intellectual property, real estate, health and, of course, financial markets,” the company noted.