Binance, Gemini, Kraken So Far the Winners From BitMEX's Legal Woes

Binance, Gemini, and Kraken have become the biggest winners since US regulators' charges against BitMEX on Thursday.

AccessTimeIconOct 2, 2020 at 8:15 p.m. UTC
Updated Sep 14, 2021 at 10:04 a.m. UTC

U.S. regulatory authorities on Thursday brought a series of civil and criminal charges against BitMEX. Since then more than 41,000 bitcoin were withdrawn from the Seychelles-based crypto exchange. Where did it go, triggering a brief market sell-off? Data shows much of it went to competitors Binance, Gemini and Kraken.

  • As of Oct. 2 01:00 UTC, 11,257 BTC moved from BitMEX to these exchanges: 4,786 BTC to Binance, 3,899 to Gemini and 989 to Kraken, according to data provided by CryptoQuant.
Binance, Gemini and Kraken captured most of the BTC withdrawals from BitMEX since Thursday.
Binance, Gemini and Kraken captured most of the BTC withdrawals from BitMEX since Thursday.
  • BitMEX’s bitcoin outflow to these exchanges could show traders are putting a higher priority on better compliance with regulations or better-leveraged bitcoin trading products.
  • Gemini, the U.S.-based and Winklevoss brothers-owned exchange is known for strict “know-your-customer (KYC)” procedures.
  • Binance, the leading crypto exchange by spot trading volume, has surpassed BitMEX, becoming the No.1 crypto exchange in 24-hour bitcoin futures trading volume.
  • San Francisco-based crypto exchange Kraken is the first cryptocurrency firm in the U.S. to become a bank, after its application for a special purpose depository institution (SPDI) charter was approved by regulators on the Wyoming Banking Board.
  • Failure to implement proper KYC rules is among the charges against BitMEX by the U.S. Commodity Futures Trading Commission (CFTC).
  • Once the leading crypto derivatives exchange, BitMEX’s market share has waned, with many other venues offering a variety of bitcoin derivatives trading instruments.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.