Bitmex’s Worst Month Arrives
Bitmex, the Cryptocurrency Derivative Exchange, has had the worst month in their history as a platform. The month of July recorded an outflow of $524 Million in trading. TokenAnalyst compiled data on Bitmex and released this information, indicating that the outflow skyrocketed dramatically towards Mid-May by $400 Million. In June the company had an outflow less than $100 Million.
Bitmex has had a positive inflow to outflow since their creation. Last year, the exchange made over $1.3 Billion in funds by having a positive inflow of cash. July marks the first month that the company had a larger outflow than they did inflow, meaning that they’ve lost substantial funds.
Doomed to Fail
Bitmex is currently one of the larges cryptocurrency derivative platforms available worldwide. Traders using this exchange are primarily from Asia & is popular due to the 100x leverage on future contracts. Just in the last day the exchange has processed more than $5 Billion in future contracts. It’s expected that Bitmex will process $136 Billion in the next thirty days.
Currently, Bitmex can’t provide their financial services to clients in the United States of America. The exchange hasn’t yet received their Commodities & Futures Commission License from the Security Exchange Commission. Furthermore, the derivative exchange is under investigation by SEC & the FBI for suspicious activity in trading. Learning of false earning on Bitmex’s behalf would be a considerable blow to the platform.
Right now, the nature of the investigation isn’t public information. Considering that Bitmex has wanted to enter the US Market for years, Arthur Hayes is hoping that future decisions way in his favour. The future of Bitmex’s global expansion project is currently halted until further information is revealed by authorities.