Bitcoin Manipulation Abatement (BMA) filed a lawsuit against BitMEX HDR Global Trading Ltd, accusing It of manipulating the market and serving American citizens without the necessary license.
In addition, the BMA accuses the BitMEX exchange of money laundering, fraud using electronic means of communication and illegal money transfers. The lawsuit claims that BitMEX HDR Global Trading is a fictitious company registered in the Seychelles in order to disobey us regulators.
According to Pavel Pogodin, BMA’s chief lawyer, the exchange uses the Twilio cloud platform to communicate with its clients. The service stores information about the email addresses of BitMEX users, as well as all exchange correspondence. Pogodin claims that Twilio contains records proving that BitMEX allows American traders to trade on its platform without having permission to do so.
The lawyer noted that the exchange made a big mistake when it started using the American service, stating that it does not have personal jurisdiction in the us and California courts. The BMA has asked the court to order the retention of images with information about email addresses and data related to BitMEX, which prove the illegal turnover of cryptocurrencies in the United States.
The BMA said that Twilio “temporarily froze” the BitMEX account until June 15, and at the end of this period, BitMEX will be able to delete all data. Upon the company’s request to save information, Twilio refused to recognize the BitMEX exchange’s obligation to save its user database.
In addition, the BMA was outraged by the exchange’s cynical response to a request for information about its operations. BitMEX HDR Global Trading sent Pogodin a meme with the words “Registered in the Seychelles, come to me, bro” against the background of an image of the exchange’s head Arthur Hayes.
The BMA considered that this response indicates BitMEX’s excessive confidence that registration in the Seychelles will allow It to work with American citizens with impunity without appropriate permits.
Recall that in may, the BMA filed a lawsuit against Ripple, accusing the company of defrauding investors and selling XRP as unregistered securities, as well as violating Federal laws.