- The CFTC is investigating BitMEX to see if they bent their rules and allowed people in the U.S. to use their platform.
- The reaction to the investigation from the crypto community has been mostly negative.
Crypto derivatives exchange, BitMEX, is being investigated by United States Commodity Futures Trading Commission (CFTC), as has been reported earlier by FXStreet. CFTC intends to find out if BitMEX relaxed their rules and enabled people in the United States to use the platform for trading. Since the exchange is not registered with CFTC, it is not allowed to execute trading activities in the U.S.
Twitter Reactions
Bullishbond007:
“1/ Bitmex will be fine. They actively prevent us users from using their platform with geo-location. They kick off users if they find out they are in the US. (See, Tone Vays; the publicity from that booting will play well for Bitmex if the CFTC brings an action)….
2/ they don’t advertise or actively attempt to get us citizens to sign up. I am not even sure if the CFTC has jurisdiction if this progresses past the sniffing butt stage. All and all this is a fat nothing burger for Bitmex. This “investigation” is a joke.”
TheDuke:
“#bitmex #cftc investigations are total FUD.
1. even with a vpn, nobody with a big stack will try to trade with the fear to be blocked( VPNs are not safe)
2. it’s to force Bitmex to be KYC, that’s it.
3. USA are lunching derivatives platforms and sees Bitmex as a competitor.”
Scott Melker:
“In the past 6 months, I have had 3 people who claimed to be ex-employees of Bitmex reach out privately and tell me that all of my assertions were true. All 3 told me to contact the CFTC (I never did) because they would be investigating Bitmex. Seems they were telling the truth.”
Trader Chris:
“Bitmex will not shut down because the CFTC launches a investigation, they have no power whatsoever, they cant do shit. There is nothing to go after, the only thing they can do is to ban the internet access across America. How dense can you be that you think they close the door.”
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