BitMEX Exchange restricted access to users from Hong Kong and Seychelles

The operator of the largest BitMEX derivatives exchange, BitMEX, HDR Global Trading Limited, announced the limitation of services in three new jurisdictions. According to a statement on the exchange’s website, from today “to ensure the safety of user funds”, BitMEX services are not available in the Seychelles, Bermuda and Hong Kong.

It is noteworthy that HDR Global Trading Limited is registered in the Seychelles, while its head office is located in Hong Kong. There is also an exchange office in Bermuda.

“We not only expected, but also welcomed the growing involvement of regulators in the activities of all major players in the industry. The mission of good regulators is to ensure the conditions under which no one deceives honest citizens. They also have the task of clearly explaining the risks, guaranteeing fair products and collecting taxes. In this process, we see the arrival of a new era of legitimacy for cryptocurrency exchanges – a future where market management standards are clearly defined and respected, where security comes first and financial reserves are subject to regular independent audit, ”the exchange said in a statement.

At the same time, BitMEX claims that this solution will not have any financial consequences for its business and will affect a very small number of users.

The exchange also says that it is entering a new “exciting” era, the hallmark of which it calls increased transparency for both users and all other interested market participants.

So, BitMEX is preparing independent audits of its insurance fund and the activities of market makers, the results of which should be published in the foreseeable future.

Note that today's BitMEX statement came out almost exactly a month after reports appeared that the investigation on the exchange was launched by the US derivatives trading (CFTC). It is assumed that the agency intends to find out whether it allowed American citizens to trade bitcoin derivatives without proper registration.

Earlier this year, BitMEX banned trading with users in several countries, including the United States, Cuba, Syria, North Korea and Sudan. Also on this list were residents of the Canadian provinces of Quebec, Crimea and Sevastopol.

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