Product Update | BitMEX actively transforming, will launch spot trading, custody, OTC services

Since being accused by the U.S. Commodity Futures Trading Commission (CFTC) of operating without registration and violating anti-money laundering laws in October last year, the derivatives pioneer BitMEX has not compromised with reality. It announced today that it will globally launch spot trading, custody, proprietary trading, OTC trading, and other services, embarking on a transformational journey.

What would BitMEX be like now without the lawsuit? BitMEX has been the top choice for Bitcoin futures traders in recent years, but besides contracts, BitMEX has not seen further development in product updates, as if staying in a comfort zone while the world outside has already undergone enormous changes.

Futures markets such as Binance, Huobi, OKEx, and FTX are becoming increasingly mature, with spot, options, tokenized stocks, prediction markets, and DeFi-like financial products thriving. BitMEX can only maintain its last bit of competitiveness in contract trading volumes, and now it finally intends to no longer limit itself to contract products.

BitMEX Transformation

The newly appointed CEO Alexander Höptner announced a series of new business initiatives in a blog post today, April 22, including:

• Diversification of derivatives: Futures contracts remain core
• Global spot trading
• Brokerage services: peer-to-peer trading, OTC
• Asset custody
• Information data products
• Cryptocurrency education BitMEX Academy: providing more educational content

Höptner stated:

The crypto space has evolved rapidly in recent years, and it is time for a strategic transformation. In the future, BitMEX will continue to expand its services and simultaneously seek various regulatory licenses.

BitMEX Lawsuit

On March 16, BitMEX co-founder Ben Delo surrendered to U.S. authorities and posted a $20 million bail; former CEO Arthur Hayes surrendered on the 6th of this month and is out on bail, awaiting future litigation in New York; business development head Greg Dwyer is currently residing in Bermuda and has no plans to surrender, as federal prosecutors have initiated extradition proceedings.