It’s been a trying time for crypto derivatives giant BitMEX and its associates following the recent legal filings in the United States.
Coinfomania reported last week that the US Commodity Futures Trading Commission (CFTC) filed civil charges against BitMEX and its founders for several rule violations.
The CTFC alleged that the company violated its rules by operating an unregulated exchange while also failing to implement a mandatory anti-money laundering (AML) know-your-customer (KYC) requirements for US traders.
Auther Hayes steps down
Following the lawsuit, 100x Group, the holding group for HDR Global Trading Limited, owner and operator of the BitMEX exchange, announced that it is changing its management positions.
Some company executives were transferred from their former role to another as 100x reshuffled the leadership positions.
Arthur Hayes, CEO of the company and frontman of BitMEX, will leave the 100x immediately alongside the co-founder and CTO Samuel Reed.
The Chief Operating Officer of 100x, Vivien Khoo, has been named as Interim CEO to fill Hayes’ seat. Khoo was a former employee at the Hong Kong Securities & Futures Commission before working as the Managing Director for the Asia Pacific appliance at Goldman Sachs. She joined 100x in March 2019.
Ben Delo, also a co-founder, will leave his executive position, and Greg Dwyer will give up his role as Head of Business Development.
Another employee, whose position was also changed is Ben Radclyffe. Radclyffe joined the company in March with a 20-year background in finance and trading technology after working for companies like Deutsche Bank, UBS, and Tower Research Capital.
At 100x, he held a position as a Commercial Director but will now be in charge of the client relationship and financial product oversight.
According to the company, these changes were implemented with the full approval of the founders.
Explaining the reason for the sudden change in management, David Wong, chairman of 100x, said:
These changes to our executive leadership mean we can focus on our core business of offering superior trading opportunities for all our clients through the BitMEX platform, whilst maintaining the highest standards of corporate governance.
Wong also mentioned that while leadership positions are transferred to a new set of executives, the founders believe that the company is placed in good hands who will see to its growth and development.
As concerns the legal charges, BitMEX will be introducing the BitMEX User Verification Programme while also noting that it intends to fight against the CFTC allegations.