BitMEX Sued Over Alleged Rigged Bitcoin Liquidations
- BitMEX faces claims it profited from customer liquidations totaling 622.66 BTC.
- Plaintiffs seek Bitcoin recovery and damages over alleged unfair liquidation practices.
- Lawsuit coincides with BitMEXโs planned September shutdown after 11 years.
BitMEX is facing a proposed class action lawsuit in the United States over allegations that it profited from customer Bitcoin liquidations. The case was filed on the same day the cryptocurrency derivatives exchange confirmed it will permanently shut down operations in September, bringing renewed attention to its liquidation practices and past regulatory challenges.
Plaintiffs Claim BitMEX Profited From Customer Liquidations
BitMEX has been accused of engineering customer liquidations to retain Bitcoin that should have been returned to traders after leveraged positions closed.
The proposed class action was filed in the U.S. District Court for the Southern District of New York by BKX Services Inc. and trader David Namdar. Together, they claim losses totaling 622.66 BTC through forced liquidations on the exchange.
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