The Bitcoin News

The US Commodity Futures Trading Commission (CFTC) has launched an investigation into digital currency exchange BitMEX, Bloomberg has reported, citing unnamed sources familiar with the situation.

According to a Bloomberg report published earlier today, the ongoing probe is focused on whether BitMEX is allowing American users to trade crypto on its platform, which is not registered with the CFTC. The newswire attributed the information to one source, who declined to be named, because the investigation hadn’t been made public.

The CFTC declined to comment on the matter, when contacted by Bloomberg, while BitMEX said that the company did not comment on media reports of that nature.

“HDR Global Trading Limited, owner of BitMEX, as a matter of company policy, does not comment on any media reports about inquiries or investigations by government agencies or regulators and we have no comment on this report,” a BitMEX spokeswoman told Bloomberg.

An ongoing investigation

The Seychelles-registered BitMEX, which has become rather popular in Asia, claims to offer up to 100 times leverage, as well as other products such as crypto futures and swaps. The exchange has an office in Hong Kong and one in San Francisco, but because it doesn’t have a registration with the US commodity regulator, it cannot serve users based in the country.

Earlier this year, BitMEX co-founder and chief executive officer Arthur Hayes said in an interview with Bloomberg that the company removed anyone who flouted company rules barring US residents and nationals. However, he noted that users could use virtual private networks to mask their locations and trick the filters used by the exchange.

In its report, Bloomberg said that the CFTC probe was ongoing and noted that such investigations do not always lead to allegations of misconduct.

Featured image: Iaremenko Sergii /

More Resources

The post BitMEX reportedly probed by US commodity watchdog appeared first on The Independent Republic.

Get the latest Bitcoin News on The Bitcoin News
Our Social Networks:
Facebook Instagram Pinterest Reddit Telegram Twitter Youtube