The Seychelles-based exchange stated that it decided to go ahead with its decision to ensure “continued compliance.” It explained that it was restricting access to its bitcoin derivatives and exchange services in regions that hosted its headquarters and staffs.
Many questions remain unanswered. Does their trading desk that provides liquidity to the market, are now unallowed to trade? There is starting to be a lot of conflict of interest and once again BitMEX proves that they are far from being regulated by any regulatory body, not even from Seychelles where they are based on.
Following the announcement, BitMEX’s service now stands unavailable to the citizens of eleven regions, which also include the US, the province of Québec in Canada, Cuba, Crimea and Sevastopol, Iran, Syria, North Korea, and Sudan.
BitMEX’s ban on local users came more than a month after BitMEX Founder & CEO Arthur Hayes debated noted economist and bitcoin skeptic Nouriel Roubini. The debate saw Roubini accusing Hayes of running a “total scam” under the guise of BitMEX. The economist said that BitMEX officials participate in a string of illegal activities, which include insider trading.
The guy is a thug that is a public danger to thousands of small clueless investors who have lost their shirt because of his scam,” Roubini said about Hayes. “BitMEX should be prosecuted for fraud and banned fully.
Most recently, BitMEX received a notice from the UK Advertising Standards Authority (ASA) over false advertising. The agency found that the exchange “failed to illustrate the risk of the investment,” “exaggerated the return on the investment” and “challenged whether it was misleading.”
By the looks, BitMEX is almost ready to pull the rug. The best advice would be to seek another platform even if your region isn’t banned. Seek for platforms based on Europe, the U.S even from Asia would be better then an exchanged based on the biggest money laundry island on the planet, Seychelles.
As we all should remember in a flaming conversation on Twitter, Artur Heyes invited once a user to SUE him in Seychelles.