BitMex Investor Sues the Exchange for $300 Million
- The exchange is estimated to be valued at $1 billion.

Crypto futures Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. Read this Term BitMex has been sued for $300 million by an early investor under the charge of fraud, Bloomberg reported on Thursday.
The lawsuit was brought in by Frank Amato and RGB Coin, who claimed to be the first seed investor of the crypto exchange. In 2015, Amato invested $30,000 in BitMex, which, according to the agreement, were to be converted into equity.
However, the lawsuit alleged that the founders of the exchange defaulted on the agreement, and Amato is yet to receive any equity, which per the current valuation of the company would be around $50 million. BitMex is estimated to be valued at $1 billion.
The seed investor is seeking $50 million of the value of his equities, along with another $250 million as punitive damages.
The suit was filed against the Seychelles-registered exchange on December 4 at a California state superior court in San Francisco.
A controversial mammoth in the crypto world
According to its website, the platform handled $1.83 billion worth of trades in the last 24 hours, while the volume for the last 30 days touched $73.8 billion. Despite being large figures, they are significantly lower than the numbers reported by the exchanges months before.
Earlier this year, another Bloomberg report revealed that the exchange was under investigation of the United States Commodities and Futures Trading Commission (CFTC) for violating regulations by offering services in the country. However, neither party confirmed the allegations.
Meanwhile, the futures exchange was involved in a massive controversy recently when it accidentally leaked the personal emails of a number of its customers.
Crypto futures Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. Read this Term BitMex has been sued for $300 million by an early investor under the charge of fraud, Bloomberg reported on Thursday.
The lawsuit was brought in by Frank Amato and RGB Coin, who claimed to be the first seed investor of the crypto exchange. In 2015, Amato invested $30,000 in BitMex, which, according to the agreement, were to be converted into equity.
However, the lawsuit alleged that the founders of the exchange defaulted on the agreement, and Amato is yet to receive any equity, which per the current valuation of the company would be around $50 million. BitMex is estimated to be valued at $1 billion.
The seed investor is seeking $50 million of the value of his equities, along with another $250 million as punitive damages.
The suit was filed against the Seychelles-registered exchange on December 4 at a California state superior court in San Francisco.
A controversial mammoth in the crypto world
According to its website, the platform handled $1.83 billion worth of trades in the last 24 hours, while the volume for the last 30 days touched $73.8 billion. Despite being large figures, they are significantly lower than the numbers reported by the exchanges months before.
Earlier this year, another Bloomberg report revealed that the exchange was under investigation of the United States Commodities and Futures Trading Commission (CFTC) for violating regulations by offering services in the country. However, neither party confirmed the allegations.
Meanwhile, the futures exchange was involved in a massive controversy recently when it accidentally leaked the personal emails of a number of its customers.