Article reading time: 3 minutes Compact: The founders of BitMEX have been charged in the US. They are now stepping down from their positions in management. This indicates a continuation of the business after they have been charged in the US , the founders of BitMEX announced that they will be leaving their management positions. This indicates a continuation of business, which should only be possible if management is deemed unencumbered. The criminal case against Ben Delo, Arthur Hayes, Samuel Reed and Greg Dwyer is still pending. The proceedings against the company are also still open. Likewise, the resignation could not only be a strategy to get BitMEX, but also possibly serve to prepare the defense of the three founders and that of Dwyer. As of now, they will not hold any management positions for the “100x Group”. The “100x Group” is the holding company under whose umbrella HDR Global Trading Limited is located. In turn, this is the company behind BitMEX.
Exodus of customers
The exchange’s customers reacted quickly and withdrew their BTC. It should be noted here that BitMEX reacted very accommodatingly and, so to speak, held the door open for its customers. Actually, for security reasons, withdrawals can only be made once a day, so when it became clear that the criminal lawsuit could have dire consequences in the US, exceptions were made and more than one batch of transfers was allowed. So went around within a few hours 45,000 bitcoin on the trip and left BitMEX’s cold storage.
Concern for FTX founders
After the press release from the US Department of Justice was published, there was first radio silence on social media. Not only did Arthur Hayes keep a low profile, but also for a short time nothing was heard from Sam Bankman-Fried. Rumors quickly spread that the head and founder of Alameda Research and FTX had been arrested. In fact, this was not the case, although certain expectations are no coincidence: BitMEX is being accused of doing unauthorized business with US consumers. FTX and Binance also basically have the same problem. The exchanges can be reached via VPN and you can in principle do without personal information or simply lie as long as no identification documents are requested.
New management well staffed
With the change in personnel at the top, BitMEX is unlikely to limit itself. The replacements are top-class. CCO Vivien Khoo will temporarily fill the position of CEO, while Ben Radclyffe will also have more responsibility in the future. Radclyffe can look back on 20 years of professional experience and stopped at positions such as Deutsche Bank and UBS. And Khoo was also able to prove herself in her career at Goldman Sachs, now it remains to be seen whether the company can emerge stronger from the crisis. To do this, the legal debacle in the USA must first be resolved as amicably as possible.