Breaking: BitMEX CEO Steps Down Following CFTC, DoJ Accusations

BitMEX CEO Arthur Hayes has stepped down, following CTFC charges of money laundering and illegally operating an unlicensed exchange.

October 8, 2020 | AtoZ MarketsEmbattled crypto exchange BitMEX Thursday announced a significant change in leadership, a step that comes over a week after the CFTC filed charges against it.

According to the announcement, the changes will be made with respect to the leadership of the 100x group, the holding group for HDR Global Trading Limited, owner and operator of the BitMEX platform.

BitMEX CEO and CTO step down from immediate effect

Following charges being filed against founders Arthur Hayes and Samuel Reed for violating the Bank Secrecy Act, the duo has officially stepped down from their roles and responsibilities as CEO and CTO, respectively, effective immediately. BitMEX added,

“Our senior leaders within our technology team will continue the day-to-day management of the BitMEX platform, including ongoing efforts to enhance the performance of the platform.”

With Hayes and Reed giving up their place at the table, founder Ben Delo will also give up his executive position in the 100x group.

In the meantime, Vivien Khoo will become 100x Group interim CEO. Khoo has been part of 100x since 2019 and held the title of Chief Operations Officer previously. The interim CEO has previously worked with traditional finance giant, Goldman Sachs, as Managing Director, Asia Pacific Compliance, while also holding a position at the Hong Kong Securities and Futures Commission before that.

Read also: USGFX Owner Hein Min Soe Steps Down as Director of UK Company

It is now business as usual for the BitMEX platform

This is a huge development since the market seemed to have lost appetite in BitMEX’s services following the CFTC’s announcement. Notably, Bitcoin price declined by 30% after the CFTC and the DOJ framed charges, while aggregate Open Interest for BTC Futures took a hit over the past week, dropping by over $100 million from $732 million on 30 September.

According to David Wong, the Chairman of the 100x group, these changes in leadership mean that now, the focus can be on business, while maintaining the highest standards of corporate governance. The Chairman concluded,

“It is business as usual for us and we thank all clients for their continued support.”

As AtoZ Markets reported earlier, the US CFTC charged the owner-operators of BitMEX with illegally running a cryptocurrency derivatives exchange and multiple breaches of the US Bank Secrecy Act.

This story is breaking and will be updated in due course.

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