BitMEX faces class action over alleged liquidation system manipulation, 623 BTC sought

Crypto derivatives exchange BitMEX is facing a class action over allegations it manipulated forced liquidations on the day it announced the shutdown of its exchange operations, Cointelegraph reported. According to the report, BKX Services and David Namdar filed the lawsuit against BitMEX in the U.S. District Court for the Southern District of New York. The plaintiffs claimed they lost a combined 622.66 BTC in forced liquidations, with BKX saying it lost at least 305.81 BTC and Namdar reporting losses of more than 316.85 BTC. They alleged BitMEX intentionally designed its system so it could profit from customer liquidations. The suit also alleged an internal trading desk had access to customers' nonpublic trading information and was able to keep trading while regular users could not close positions during server disruptions. BitMEX had earlier announced it would end exchange operations at 4:00 a.m. UTC on Sept. 23.