In this video, we’ll take a look at the BitMex vs CFTC legal battle and ask whether DeFi could be next. The Commodity Futures Trading Commission (CFTC) has filed a lawsuit against BitMex, alleging that the crypto exchange’s owners violated U.S. laws by allowing U.S. customers to trade on the platform. The CFTC also alleges that the owners of BitMex laundered money and failed to register with the CFTC.
The CFTC’s action against BitMex has sent shockwaves through the crypto industry. BitMex is one of the largest crypto exchanges and its legal troubles could have implications for the entire crypto industry.
Despite the legal troubles, investors remain bullish on crypto. Recent reports show that crypto assets have been outperforming both traditional stock markets and gold in 2020. The price of Bitcoin has nearly doubled since the start of the year.
But the crypto industry has had some hiccups. Recently, the DeFi project Eminence was the victim of a hack and lost $2.4 million worth of tokens. The incident highlights the need for improved security protocols in the crypto space.
So will DeFi be next in the CFTC’s crosshairs? It’s too early to tell, but the crypto industry will be watching closely.