Former BitMEX CEO Arthur Hayes Surrenders to US Authorities

Key Takeaways

  • Arthur Hayes surrendered in Hawaii and has already posted a $10 million bail.
  • Of the four BitMEX co-founders, only Greg Dwyer isn’t cooperating with U.S. authorities.
  • BitMEX continues to have some of the highest volume for crypto derivatives exchanges.

After living in Singapore since the charges were announced, Arthur Hayes has surrendered to U.S. authorities in Hawaii before posting a $10 million bail.

No Country for Arthur Hayes

Arthur Hayes will face trial for violating the Bank Secrecy Act after not taking enough measures to prevent money launder on his exchange BitMEX. Hayes accepted to fly to Hawaii, surrender, and be immediately released after posting a $10 million bail in a pre-arranged deal with authorities.

He will now face trial in New York alongside his other co-founders Ben Delo, who has already surrendered, and ex-CTO Samuel Reed, who was arrested in October. Greg Dwyer is reportedly still not communicating with authorities, and U.S. authorities are working with Bermuda to extradite the last BitMEX founder.

BitMEX is a popular exchange for Bitcoin options and other cryptocurrency derivatives. U.S. authorities believe that part of this popularity is due to the lenient KYC measures, which might have facilitated money laundering. In the indictment, the U.S. District Court of New York accuses the defendants of a failure to implement sufficient anti-money laundering measures or know-your-customer programs.

“BitMEX made itself available as a vehicle for money laundering and sanctions violations,” describes the indictment.

“Arthur Hayes is a self-made entrepreneur who has been wrongly accused of crimes that he did not commit,” his lawyers said in a statement. “Mr. Hayes voluntarily appeared in court and looks forward to fighting these unwarranted charges.”

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

See full terms and conditions.

Source: Read Full Article