BitMEX Faces Another Lawsuit Over Alleged Insider Trading and 'God Access' Scandal
BitMEX faces another lawsuit, this time from Blockchain Recovery Investment Consortium (BRIC), over its handling of two trading accounts during the COVID crash in March 2020.
The plaintiffs claim that BitMEX's own trading made the crash worse and that a position holding Celsius' bitcoin was closed at a price that allegedly existed only on BitMEX.
BRIC is seeking to recover 6,360 BTC ($485 million) for former Celsius customers and alleges that BitMEX intentionally designed its platform and liquidation procedures to cause liquidations of collateral and defraud its own customers.
The lawsuit also repeats earlier allegations of 'God Access' and insider trading, suggesting that personnel associated with the Insider Trading Desk operated through anonymized email accounts and could trade on various crypto exchanges.