January 20, 2025<\/p>\n\n\n\n
By Our Correspondent<\/p>\n\n\n\n
Cryptocurrency exchange BitMEX has been penalized with a fine of US$100 million for willfully neglecting US anti-money-laundering regulations to enhance its revenue, as stated by the US Department of Justice on Wednesday.<\/p>\n\n\n\n
BitMEX, which operates under the name HDR Global Trading, was sentenced by US District Judge John Koeltl in Manhattan following its guilty plea last July.<\/p>\n\n\n\n
The sentence includes a probation period of two years. BitMEX and its founders, who also entered guilty pleas in 2022 and received probation sentences, had previously settled related criminal and civil matters with payments totaling approximately US$110 million, according to court documents.<\/p>\n\n\n\n
Prosecutors alleged that BitMEX and its founders\u2014Benjamin Delo, Arthur Hayes, and Samuel Reed\u2014intentionally breached the Bank Secrecy Act from 2015 to 2020 by failing to implement anti-money-laundering and “know your customer” protocols, effectively transforming the exchange into a platform for money laundering.<\/p>\n\n\n\n
In 2021, BitMEX consented to pay up to US$100 million to resolve civil allegations from two US regulatory bodies regarding its inadequate customer screening practices and its acceptance of funds for cryptocurrency trading without proper registration.<\/p>\n\n\n\n
Prosecutors had requested a fine of US$417 million in the criminal case, asserting that BitMEX “has not demonstrated acceptance of responsibility in any real sense,” and BitMEX ultimately pleaded guilty after recognizing it had “no choice” following the pleas of its founders.<\/p>\n\n\n\n
BitMEX contended that no additional fine was warranted, referencing the previous payments and asserting that it has evolved into a “compliant business” that has addressed its earlier shortcomings.<\/p>\n\n\n\n
The exchange also noted that, similar to many other cryptocurrency platforms, it was slow to adapt to industry changes during a time of regulatory ambiguity.<\/p>\n\n\n\n
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January 20, 2025 By Our Correspondent Cryptocurrency exchange BitMEX has been penalized with a fine of US$100 million for willfully neglecting US anti-money-laundering regulations to enhance its revenue, as stated by the US Department of Justice on Wednesday. BitMEX, which operates under the name HDR Global Trading, was sentenced by US District Judge John Koeltl […]<\/p>\n","protected":false},"author":4,"featured_media":7031,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-7030","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-uncategorized"},"yoast_head":"\n