The US Department of Justice announced on January 15 that BitMEX and its parent company HDR Global Trading Limited have been fined $100 million for violating the Bank Secrecy Act (BSA).
After a lengthy legal process, both companies admitted to the violations in July 2024. The Justice Department initially sought fines of more than $200 million, but later expanded that amount to $420 million. However, the court imposed a significantly lower fine, according to a statement released by HDR.
The company said in a statement:
“While we are disappointed with this outcome, we note that the fine is significantly less than the Department of Justice's aggressive request.”
He also criticized the lengthy legal process and questioned whether taxpayer resources could have been better used.
BSA violation
The case stems from allegations that BitMEX operated without proper anti-money laundering (AML) and know-your-customer (KYC) protocols during the period under scrutiny.
However, BitMEX has since highlighted significant progress in compliance, emphasizing the implementation of a “best-in-class user verification program” and a robust AML system.
The company stated:
“Our compliance standards have changed dramatically since the time of the BSA complaint.”
The fine signals continuing legal and regulatory challenges for BitMEX, which has faced increased scrutiny from global regulators in recent years.
Despite these challenges, HDR emphasized its commitment to innovation and maintaining its position as a leader in the crypto derivatives market.
“old news”
BitMEX reiterates that the accusations are “old news” and is trying to navigate its way through legal entanglements. The platform said it plans to focus on enhancing its products and services while maintaining industry-leading security and operational stability.
The Seychelles-based company remains restricted from operating in the United States due to regulatory frameworks. We maintain strict measures to prevent unauthorized access from restricted jurisdictions.
BitMEX continues to market itself as a pioneer in the cryptocurrency trading space, offering services such as high-leverage perpetual contracts. The platform affirms its commitment to providing innovative solutions to its global user base, describing itself as the “safest, most trusted and financially stable” exchange in the industry. Masu.
This financial penalty adds to ongoing challenges as HDR and BitMEX seek to restore their reputations and move forward with a thorough compliance review.
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