BitMEX sued in NY over 622.66 BTC forced liquidations

BitMEX faces a proposed class action in SDNY. Plaintiffs seek the return of 622.66 BTC over alleged forced liquidations and platform misconduct.

The complaint, filed July 23, 2026, lists HDR Global, Arthur Hayes, Benjamin Delo, Samuel Reed, and Gregory Dwyer as defendants. Case No. 1:26-cv-06259. Public court records confirm filing details.

Plaintiffs BKX Services Inc. and David Namdar allege BitMEX:
- Ran an internal trading desk with access to customer data
- Traded against users
- Froze during volatility, contributing to liquidations
- Owes 622.66 BTC, about $40.7 million

These are unproven allegations at the complaint stage. No findings yet. Primary source cites the claim scope and parties.

Why it matters for crypto investors

BitMEX shaped high‑leverage Bitcoin derivatives. Lawsuits here test core market-structure issues: liquidation mechanics, exchange transparency, internal conflicts, server stability, and insurance fund handling. The claims go to trust in leveraged venues.

Internal trading desk claims raise stakes. If a venue controls matching, liquidations, and holds user data while affiliated trading runs, users may see structural conflicts. That’s where courts and regulators focus. Docket reference anchors the case context.

Wind‑down timing

Reports tied to the case note BitMEX plans to terminate operations on September 23, 2026. That can accelerate claimant actions and creditor questions before shutdown. Court records underpin the litigation timeline.

What’s confirmed now

- Filing date and parties named per SDNY docket
- Sought return of 622.66 BTC
- Allegations include forced liquidations, platform freezes, internal trading

What’s not established

- Liability, damages, or factual findings. The case is at the complaint stage. Source docket reflects status only.

TL;DR
- BitMEX sued in SDNY to recover 622.66 BTC.
- Claims target liquidations, platform freezes, internal desk activity.
- Allegations are unproven; litigation just started. Primary documentation.