Bitmex’s Hayes Avoids Imprisonment, Gets 2 years Probation, 6 Months House Arrest For Violating the US Bank Secrecy Act

Summary:

• Bitmex founder, Arthur Hayes, volition not walk a azygous time successful jailhouse for violating the U.S. Bank Secrecy Act.
• Mr. Hayes has been sentenced to 2 years probation with the archetypal six months successful location confinement.
• Arthur Hayes besides agreed to forfeit $10 cardinal successful a plea deal.
• However, the adjunct U.S. lawyer for the Southern District of New York has warned that his airy sentencing and good could nonstop the incorrect connection to crypto exchanges facing imaginable akin charges.

The Co-founder and erstwhile CEO of Bitmex, Arthur Hayes, volition not walk a time successful jailhouse for violating the U.S. Bank Secrecy Act.

According to a report by Bloomberg, Mr. Hayes has been sentenced by a Federal Judge to 2 years of probation with the archetypal six months of his condemnation successful location confinement. As earlier mentioned, Mr. Hayes had been charged with violating the U.S. Bank Secrecy Act and failing to supply anti-money laundering safeguards specified arsenic verifying the identities of Bitmex users.

During the sentencing, Hayes took afloat work for his actions adding that helium regretted that helium had played a portion successful breaking the law. He said:

I profoundly regret that I had a portion successful this transgression activity. My champion years are up of me. … I americium acceptable to crook the leafage and commencement again. I inquire that you let maine to instrumentality home, profoundly remorseful and capable to commencement the adjacent section of my life.

Hayes, who has been a resident of Singapore, volition further beryllium allowed 30 days to determine wherever helium volition service his location detention wrong the United States. Hayes has a location successful Miami, but his lawyer suggested that helium has nary assemblage successful Florida and mightiness determine connected serving his location detention elsewhere.

Judge John Koeltl of the US Southern District Court successful New York further agreed to let Arthur Hayes to question internationally aft serving the archetypal six months. All helium has to bash is simply a cheque successful with his probation serviceman arsenic indispensable via video telephone from his location successful Asia.

As portion of his plea deal, Arthur Hayes volition besides forfeit $10 cardinal arsenic a good for his offense.

Arthur Hayes Light Sentencing Could Send the Wrong Message

However, Assistant U.S. Attorney of the Southern District of New York, Samuel Raymond, has warned that Hayes’ airy sentencing and $10 cardinal good mightiness nonstop the incorrect connection to crypto exchanges. He said:

This is simply a precise superior offense.

There were existent consequences. When individuals similar Mr. Hayes run platforms without anti-money-laundering programs oregon know-your-customer programs, they go a magnet for radical to launder money.

[Allowing Hayes to enactment retired of prison] would nonstop a connection to him that the outgo of doing concern is simply a fine, and helium could proceed to interruption the instrumentality for immense amounts and wage immoderate fine.

This lawsuit is being intimately watched by cryptocurrency exchanges and different companies astir the world.

[Feature representation courtesy of Bloomberg]