BitMEX has officially closed its trading operations after 11 years, allowing users to withdraw funds, but no new trades or deposits are accepted.
BitMEX, a prominent name in the cryptocurrency derivatives landscape, has officially closed its trading platform after operating for 11 years. Users, however, can still access their accounts to withdraw funds.
Withdrawal Access Remains Open Post-Closure
As of 04:00 UTC on Tuesday, all trading, deposits, and new positions have been halted. BitMEX has confirmed that while users can no longer deposit funds, they can still log in to withdraw their existing balances. The exchange has encouraged users to take immediate actions to retrieve their funds.
Established in 2014 by Arthur Hayes, Ben Delo, and Samuel Reed, BitMEX advised users to withdraw their remaining assets. For those who have completed the know-your-customer (KYC) process, a monthly fee will be implemented for account balances, calculated as either 1% of the total balance annually or a minimum of $50.
This announcement signifies the end of an influential chapter in the crypto derivative market, particularly as BitMEX was instrumental in the innovation of perpetual futures, now a key product in trading. Despite its closure, the platform reassured clients that their assets would remain accessible for withdrawal throughout the transition process.
The decision to wind down operations was made in July following a strategic review by HDR Global Trading, BitMEX's parent company, due to increasing competition in the derivatives sector they helped shape. Meanwhile, BitMart also announced its shutdown around the same time, citing challenging market conditions after nine years of service.
BitMEX's closure coincides with a significant rise in the popularity of perpetual futures, with centralized exchanges reporting an impressive $3.4 trillion in derivatives transactions in August alone, and annual volumes soaring to $50 trillion, as per CoinDesk's findings.
