A British software engineer, Lewis Barber, has filed a lawsuit against HDR Global Trading, the operator of BitMEX, in London’s High Court, demanding the return of 324.8 bitcoin—valued at approximately $27.2 million. Barber accuses the shuttered crypto derivatives exchange of selling him perpetual swap derivatives in the UK without authorization from the Financial Conduct Authority (FCA).
Alleged unauthorized trading and legal basis
Barber reportedly conducted 2,294 trades on BitMEX across five accounts from 2018 to 2022. Of those, 1,053 trades resulted in losses, all involving perpetual swaps, which function like futures contracts but have no expiry date. He contends that these transactions fall under regulated activity as defined by the Financial Services and Markets Act 2000, making BitMEX’s offerings unlawful in the UK since the company lacked FCA approval.
In December 2025, Barber’s legal team wrote to BitMEX seeking to rescind the trades and requesting repayment of losses. Barber argues that, because of the lack of UK authorization, the contracts are unenforceable and he is entitled to recover the funds lost on these trades.
He further claims BitMEX was aware it did not have the proper licensing in the UK but still indicated that trading was legitimate for UK users.
Barber asserts that without FCA approval, the derivatives contracts he entered into with BitMEX cannot be legally enforced against him, and thus seeks repayment of the bitcoin lost in these trades.
The 324.8 bitcoin that Barber seeks to reclaim was valued at £20.4 million on October 1, with the amount rising to around $27.2 million according to the rates cited in court filings.
BitMEX’s UK operations and marketing reach
Barber’s claim also highlights BitMEX’s active marketing efforts targeting UK users, including global campaigns, allowing UK residents to register on the platform, and promoting itself with an advertisement in a major UK newspaper in January 2019. The FCA issued a public warning in March 2020, specifically stating that BitMEX was not authorized, and cautioning that users would have no access to the Financial Ombudsman Service or the Financial Services Compensation Scheme if they traded on the platform.
Further legal challenges and platform closure
BitMEX halted trading on September 23, 2026, marking the end of more than 11 years in business. Its parent entity, the Seychelles-based HDR Global, attributed the shutdown to its inability to secure a buyer the previous year. Verified users with remaining assets on BitMEX now face possible fees of $50 per month or 1% annually, whichever is greater, for unclaimed account balances.
Beyond the London lawsuit, BitMEX faces additional legal pressures. In New York, the platform stands accused of operating a secret “Insider Trading Desk” intended to trade against clients and deliberately freezing servers during high volatility to trigger liquidations. In July, BKX Services and David Namdar initiated a proposed class action, claiming losses of 623 bitcoin and seeking compensation for the alleged misconduct. BitMEX disputes the allegations.
Regulatory scrutiny and industry parallels
BitMEX’s co-founder Ben Delo has recently made headlines in the UK due to large donations totaling £36 million to the Reform UK political party. Delo, Arthur Hayes, and Samuel Reed pleaded guilty in 2022 to violating the U.S. Bank Secrecy Act by failing to implement suitable anti-money laundering measures. The trio avoided imprisonment and received pardons from President Trump in March 2025. BitMEX itself pleaded guilty to similar charges in 2024 and paid $100 million to the U.S. Department of Justice in January 2025.
The current lawsuit against HDR Global Trading shares similarities with a recent case filed in June 2026, where nearly 1,700 investors sued Binance and its former CEO Changpeng Zhao for the unauthorized sale of derivatives in the UK, seeking more than £150 million in compensation.
Given the regulatory and legal complexity surrounding derivatives trading, monitoring live market developments is critical for market participants. In such a fast-moving environment, where a single Federal Reserve decision or rapid altcoin listing can alter trading dynamics within seconds, investors are seeking efficiency to avoid friction across multiple platforms. Many traders now consolidate their activities with privacy-focused tools like CryptoAppsy, which offer real-time charts, automated price alerts, specific news for each coin, and essential macroeconomic data—all in one place, and without requiring users to create an account.
