BitMex, a Hong Kong based crypto exchange is currently in the process of shutting down US trading accounts and also those in Quebec in the face of current crackdowns on unlicensed crypto exchanges.
Although BitMex is one of the most active bitcoin trading platforms in the world with a current turnover of $928 billion, the trading platform is rightfully nervous on the impact of the tighter laws for exchanges on the continent.
The popular crypto exchange and derivatives trading platform is based in Hong Kong and is currently unregulated by any jurisdiction. Despite being unregulated, BitMex has managed to successfully and legally operate in countries around the world, with the exception of the United States due to their legal framework.
A BitMEX representative subsequently contacted CoinTelegraph Japan, to point out six significant errors in this report. One of the main issues was the misleading way that the story had been introduced.
The closure of U.S. and Quebec accounts is apparently not a new phenomenon at all, although a new banner notification system to inform affected users has been introduced recently.
It appears that the unregulated trading platform is not only taking action by shutting down trading accounts in North America but are also covering their backs by informing all users from restricted jurisdictions that trading with BitMex is prohibited.
BitMEX’s decision to move out of the US isn’t as straightforward. The SEC has increased its focus on digital token trading platforms, but it’s not clear what (if any) specific issues the SEC might have with BitMEX.