BitMEX crypto trading resumes after outage, assures funds are ‘safe’


The trading engine for BitMEX has come back online after a “major outage” shut it down for a few hours.

BitMEX, a derivative trading platform and cryptocurrency exchange, found itself trending on Twitter in the United States earlier on May 19 due to the shutdown.

Going dark, outage still under investigation

The exchange announced that the trading engine was down at 12:13 UTC earlier on May 19. After some investigation, BitMEX announced at 13:29 UTC that the platform was coming back online with cancel-only mode operating at first.

The cryptocurrency exchange noted that all funds were “safe” and that no liquidations occurred during the downtime. Trading then resumed at 13:40 UTC with withdrawals being processed at 14:00 UTC and 15:00 UTC.

They added:

“Due to the downtime, the period between 12:00 and 13:40 UTC is being excluded for funding rate calculations on perpetual swaps.”

Once the platform went live and operating at full capacity, BitMEX stated that a full postmortem would be carried out and released to the public in the next few days.

Rough past few days for BitMEX

This outage of their trading engine is just the latest in a string of negative circumstances for the cryptocurrency exchange.

BitMEX was hit with a lawsuit in the United States on May 18 that alleges the exchange engages in a multitude of sins, including racketeering, money laundering, and wire fraud.

The lawsuit also says a full 15% of cryptocurrency trades on BitMEX in 2019 came from U.S.-based traders despite the fact the exchange does not have the appropriate license to allow such trading.

The exchange disputes the allegations, with a spokesperson stating:

“Having reviewed a draft version of their complaint, which is clearly rehashed from information culled from the internet, we confirm we will be defending ourselves vigorously against this spurious claim.”

The exchange was recently forced to restrict access to users in Japan due to increased cryptocurrency regulations enforced by the country’s Financial Services Agency (FSA).

At the start of this month, any new user would not be allowed to make any trades on the platform and older users would not be able to “open a new position or increase an existing open position” going forward.

BitMEX launches ETH/USD quanto futures contract

However, not all is doom and gloom for BitMEX.

The cryptocurrency exchange launched an ETH/USD quanto futures contract with up to 50x leverage on May 5, which would expire in June.

The exchange says that this product is the first of its kind in the marketplace.

BitMEX also added that the new product allows crypto traders “to long or short the ETH/USD exchange rate without ever touching either ETH or USD.”

Images courtesy of chaiyapruek youprasert/Shutterstock, 12019/Pixabay

Jeff Francis

Jeff has taken a roundabout way to becoming a cryptocurrency writer. He has always had a huge interest in history, which led to him receiving a degree in medieval history. He once thought of becoming a teacher but eventually joined some friends in opening a hobby shop. Jeff eventually took over sole proprietorship of the business and ran it for over 10 years. He then moved on to online selling and then into gaming journalism. He has spent the last 10 years writing professionally for various websites as well as creating content for many businesses. A few years back, he began hearing about Bitcoin and the rise of other cryptocurrencies. A proponent of allowing people to take economic power into their own hands, Jeff has enthusiastically supported cryptocurrencies, not to mention the many benefits of blockchain technology. This interest propelled him to becoming a writer for, and later editor of, several cryptocurrency-focused websites. Jeff is a lifelong geek and gamer. He tries to keep up with the slew of TV shows and movies that fall into the fantasy/sci-fi/superhero genres, and he still plays pen-and-paper role-playing games on the weekends. He lives in Florida, USA, as he cannot stand cold weather.

Published by
Jeff Francis

Recent Posts

Zimbabwe mandates COVID-19 vaccinations to all civil servants

Worries and concerns have continued to grow across Zimbabwe as the numbers of daily COVID-19…

4 hours ago

Bank of America now ready for crypto trading

The prime brokerage unit of Bank of America has now started offering crypto exchange-traded products…

4 hours ago

Steve Jobs NFT now up for auction

Steve Jobs’ handwritten job application letter (both physical and its NFT version) will now be…

5 hours ago