Investigative reporters uncover potential transaction involving BitMEX digital trading platform.
Ready to spill the tea on BitMEX's latest business move? It seems our boy BitMEX is looking for a buyer to take over the crypto derivatives reins, according to the bustling grapevine known as CoinDesk. They've even hired the suave investment bank, Broadhaven, to help seal the deal by the end of 2024.
Now, you might be wondering why this sudden deal? Well, it seems that the crypto derivatives market has gotten all hot and heavy with mergers and acquisitions, and BitMEX is jumping on the bandwagon. Kraken and Coinbase are reportedly interested in snatching up Deribit, while Arbelos Markets and FalconX teamed up in January.
But here's the cagey part, no specific buyers for BitMEX have been named yet. You'd need to keep your eyes on more financial-focused sources or news outlets hootin' and hollerin' about corporate developments in the crypto world for more scoop.
Now, some of you may recall that way back in January 2021, HDR Global Trading Limited, BitMEX's operational big kahuna, was hit with a $100 million fine for breaking the rules of the Bank Secrecy Act in the U.S. The exchange's founders, Arthur Hayes, Benjamin Delo, and Samuel Reed (and business development director Gregory Dwyer, who joined the year after) were all later charged. Hayes and Delo pleaded guilty in February 2022, Reed cut a deal with authorities in March, and Dwyer did likewise in August.
A year later, in July 2024, BitMEX officially copped to its wrongdoings. As punishment, in 2021, the exchange also shelled out a $100 million penalty as part of a civil settlement with the Commodity Futures Trading Commission (CFTC). The regulator also hit Hayes, Delo, and Reed with $10 million financial sanctions each.
So there ya have it, folks. BitMEX is on the hunt for a new owner, and the crypto derivatives market is buzzing with activity. Keep 'em peeled for more juicy updates!
- As the crypto derivatives market sees a surge in mergers and acquisitions, with players like Kraken and Coinbase eyeing Deribit and Arbelos Markets teaming up with FalconX, it seems BitMEX's urge to sell might be influenced by the business trends within the industry.
- The recent move by BitMEX to seek a buyer could potentially alter the financial landscape of the technology-driven crypto industry, especially considering the high-profile regulatory issues it has faced in the past, such as the $100 million fine for violating the Bank Secrecy Act in 2021.
