Key facts
- BitMEX is being sued for £20 million in the UK over claims of mis-selling financial products.
- The lawsuit alleges BitMEX offered crypto derivative products to UK investors without FCA authorization.
- Plaintiff Lewis Barber claims he lost £20 million in bitcoin trading derivatives between 2018 and 2022.
- Barber's lawyers argue that under the Financial Services and Markets Act 2000, such contracts are void.
- BitMEX, founded by Reform UK donor Ben Delo, closed voluntarily in September 2026.
- BitMEX has faced previous legal issues in the US related to anti-money-laundering procedures.
A cryptocurrency exchange founded by billionaire Reform UK donor Ben Delo, BitMEX, is being sued for £20 million in the UK. The lawsuit, filed by software engineer Lewis Barber, alleges that the company mis-sold financial products, specifically crypto derivative products, to UK investors without the necessary authorization from the Financial Conduct Authority (FCA).
Barber claims he lost bitcoin valued at £20 million between 2018 and 2022 through trading these derivatives, which amplified gains or losses based on cryptocurrency price fluctuations. His lawyers contend that under the Financial Services and Markets Act 2000, such contracts are void, entitling consumers to restitution for any bitcoin lost.
Barber's legal team suggests that he may be one of thousands of non-professional UK investors who suffered significant losses due to BitMEX's alleged breach of FCA rules and consumer protection laws. The claim notes that BitMEX conducted worldwide promotional campaigns, including an advertisement in The Times on January 3, 2019, and did not exclude the UK. The FCA issued a warning on March 3, 2020, indicating that BitMEX might have been trading regulated investments in the UK without authorization.
A spokesperson for BitMEX stated that no claim has been served on HDR Global Trading Limited, the exchange's owner and operator. Gareth Keillor, a partner at Seladore Legal representing Barber, highlighted the substantial nature of the claim and its potential wider relevance for other UK-based individuals who may have entered into similar contracts.
The emergence of these details follows BitMEX's voluntary closure on September 23, 2026, after a strategic business review. The company has faced other legal challenges internationally, including lawsuits in New York concerning alleged theft of bitcoin and insider trading. In the US, BitMEX co-founders, including Delo, pleaded guilty in 2022 to violating the Bank Secrecy Act, and the company itself paid $100 million in January 2025 for failing to maintain adequate anti-money-laundering programs.