BitMEX is facing a class action lawsuit in federal court in New York involving 622.66 BTC. Plaintiffs BKX Services Inc. and David Namdar accuse the crypto derivatives platform of fraudulently orchestrating forced liquidations by using privileged trading access and server freezes to prevent users from closing their positions. The platform allegedly allowed leverage up to 100 times the collateral, then automatically liquidated positions while the collateral was still worth twice the losses incurred. BitMEX announced on the same day that it would shut down services on September 23 after eleven years of operation, with new registrations stopping on August 26. The BMEX token plunged approximately 90% following the announcement.
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