TL;DR Breakdown
- BitMEX exchange launches BMX token.
- Coin to be used to reward users, grow ecosystem.
- Ex-BitMEX executives still have cases to answer in court.
Top crypto derivative platform, BitMEX has joined Binance exchange and a host of other crypto firms to drop its own native crypto coin, BMEX.
The exchange announced the launch of its native cryptocurrency on its verified Twitter page, revealing that it would massively airdrop the coin February 1st into its customers’ wallets.
New users and existing users are open to receiving the BMEX token. However, they all have to be fully verified, in accordance with BitMEX’s new policy.
The first 50,000 new users with completed KYC can register to get 5 BMEX tokens and 10 Tether (USDT) stablecoins. Existing traders will get BMEX tokens as they trade. Specifically, they can earn up to 25% of the monthly trading fee in BMEX token in a 1:1 ratio, capped at 50,000 BMEX per month per user.
Also, users who can refer three new users to sign up and complete their KYC would receive 15 BMX token.
BMEX tokens will have a maximum supply of 450 million units. They will be minted at once and vested over a period of up to 5 years.
“The large majority of BMEX will be spent to reward users and grow the BitMEX ecosystem,” said BitMEX. “An allocation of 20% is reserved for employees and another 25% for our long-term commitment to the token and ecosystem.”
A lite paper for the token would be released in January 2022 detailing the benefit of the token to holders.
BitMEX gates, allegations by CFTC, DoJ
The exchange before now has been in the heat of lawsuits filed separately by the U.S. Commodity Futures Trading Commission (CFTC) and Department of Justice (DoJ) at different times.
The exchange founders, Arthur Hayes, Ben Delo, and Samuel Reed, were sued by CFTC were sued by CFTC for operating an unregistered trading platform and violating multiple CFTC regulations, including failing to implement required anti-money laundering procedures.
The exchange removed itself from the case eventually after a $100 million settlement. However, litigation against the three founders continued.
