Court Dismisses Market Manipulation Lawsuit Against BitMEX

The lawsuit in which BitMEX was accused of manipulating the crypto market, as well as violating racketeering laws has been dismissed.

September 9, 2021, | AtoZ Markets – A US court dismissed the claims against the cryptocurrency derivatives exchange BitMEX, considering that a significant part of the charges were simply taken from other claims against the company.

This is a lawsuit in which BitMEX was immediately accused of market manipulation, fraudulent intentions, as well as violation of laws on combating organized crime and urgent exchange trading.

The scale and excessive verbosity are in themselves grounds for dismissing the claim,” the judge said. “I also tried to find convincing statements, but I couldn’t find it.”

The initiator of the proceedings was BMA LLC, which previously tried to sue other large crypto companies in a similar way. This was the second version of her lawsuit against BitMEX, after the first was dismissed in May. Even then, the court warned that the lawsuit, which contained 237 pages and 600 paragraphs, was too long, but the updated document turned out to be 378 pages, over a thousand paragraphs and 21 appendices.

BitMEX market manipulation allegations copied from another lawsuit

The judge also noted that the market manipulation allegations were copied from another lawsuit filed against BitMEX in New York:

I will not consider copied charges, the validity of which will be determined by another judge. Other charges are groundless.”

In addition, the judge banned the filing of a new version of the same claim. The plaintiff’s representative Pavel Pogodin said in a conversation with Law360:

The judge did not give any examples to support his claims about the copied material.”

Earlier, the plaintiff also admitted that the judge does not understand cryptocurrencies, and proposed to bring him up to date. The judge, in turn, recommended that the plaintiff focus on the main task, namely, to confirm the validity of the charge.

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