The BitMEX exchange had implemented new Identity Verification (KYC) measures, following some setbacks with the US Commodity Futures Trading Commission (CFTC). All users are now verified, but the exchange is currently unable to return to its levels of a few months ago …
BitMEX finishes verifying the identity of its users
The news was announced in a statement from the exchange . BitMEX explains that after being able to verify the identity of its users, it starts the year on the right foot:
“[This] allows BitMEX to become one of the largest derivatives exchanges in the world, with a fully verified user base . “
BitMEX is now defined as a trusted derivatives platform, which “ doesn’t sacrifice safety, liquidity, or performance. “
The platform does not yet return to its previous levels
But in fact, the CFTC attack was a real blow to BitMEX, which cost it more than just KYC measures. Immediately after the announcement, 30% of bitcoin (BTC) stored on the platform had been withdrawn, with users turning to alternatives like Binance Futures or FTX. The departure of Arthur Hayes , the iconic head of BitMEX, had also made the headlines.
So what about a few months later? The platform is still recovering from these ups and downs, and its liquidity has plunged. According to information from Decrypt , the number of BTCs stored on BitMEX fell by 66% during the year 2020:
Bitcoins BTC stored on BitMEX
According to data from CoinGecko, however, the trading volume increased compared to December. While it barely exceeded $ 2 billion, it has climbed back to over $ 8 billion in recent days.