UK Engineer Sues BitMEX for $27M Bitcoin Over Unlicensed Derivatives

Lewis Barber, a UK software engineer, is suing BitMEX operator HDR Global Trading in London's Commercial Court. He wants 324.8 BTC returned, worth about $27.2 million, according to Decrypt's calculation from the claim's exchange rates.

The claim, reported by The Guardian and reviewed by Decrypt, says Barber made around 2,294 trades on BitMEX between 2018 and 2022. It challenges 1,053 that lost money. All were perpetual swaps—derivatives that bet on price moves with no expiry date.

Barber argues these were regulated activities in the UK and BitMEX had no authorization from the Financial Conduct Authority (FCA). His lawyers say that makes the trades unenforceable under the Financial Services and Markets Act 2000. He also claims deceit, alleging BitMEX knew it was not authorized while suggesting it could lawfully trade with him. The claim also cites a March 2020 FCA warning that BitMEX may have been trading regulated investments without authorization.

What BitMEX says

The claim has been filed but not formally served on HDR Global Trading, The Guardian reported. A BitMEX spokesperson told the newspaper: "No such claim has been served on HDR Global Trading Limited."

BitMEX shut down in September. Its operator pleaded guilty to Bank Secrecy Act violations in 2024 and was ordered to pay $100 million in January 2025. Co-founder Ben Delo also gave Reform UK £36 million in September, Decrypt reported.

Barber's law firm, Seladore Legal, says other UK traders may have similar claims, potentially totaling hundreds of millions of pounds.

The takeaway: This is a court filing, not a finding. The claim has not been served, and no court has ruled on the allegations.