BitMEX founders Arthur Hayes, Samuel Reed, and Benjamin Delo are being indicted by the Commodity Futures Trading Commission (CFTC) on charges of violating the Bank Secrecy Act, which carries a maximum of five years in prison. BitMEX, which has reportedly been under investigation by the CFTC since at least July 2019, implemented mandatory Know Your Customer (KYC) in April of this year, but it doesn't seem to be enough. BitMEX is being charged for 1) illegally offering commodity derivative products to U.S. persons, 2) their acceptance of funds from individuals and entities in the U.S., 3) their operation of a derivatives trading platform in the U.S., 4) bribing foreign officials, and 5) the open flaunting and mockery they make regularly of government agencies that obviously annoyed regulators. Bitcoin dropped 1.54% within the first 15-minutes of the announcement and the downfall continued below $10,500. BitMEX has $1.9 billion in assets.

BitcoinExchangeGuide (Oct 1, 2020)