Arthur Hayes

BitMEX spent two years exploring a sale before moving to wind down operations, but prospective acquirers were deterred by founder-linked ownership, fading market share and reputational risks. The failed process stands out against a more active crypto mergers market, where other digital asset firms have continued to attract buyers.

Perpetual swaps, widely known as perps, have grown into the leading instrument for leveraged crypto trading, with estimated annual volume of $40 to $50 trillion. Their no-expiry structure, funding-rate mechanism and high-leverage design have reshaped how bitcoin and ether prices are discovered.

BitMEX is facing a proposed class-action lawsuit alleging unfair liquidations, withheld collateral and insider trading tied to its bitcoin swap products. The case lands as the crypto derivatives exchange prepares to cease operations on Sept. 23 after an 11-year run.

BitMEX will shut down operations on Sept. 23, 2026, after halting new account registrations and urging users to withdraw assets. The closure marks the end of an exchange that helped define crypto derivatives through the 100x leverage perpetual swap.

With the Bitcoin blockchain set to undergo its fourth mining-reward halving on April 20, concerns arise regarding potential selling pressure amid the U.S. tax season.