BitMEX has announced the closure of its cryptocurrency derivatives exchange. The company stated that the board of directors decided to scale back operations after completing a strategic review, and the transaction will conclude on September 23.

The platform has stopped accepting new account registrations. Starting August 26th, users will no longer be able to open new positions, and can only reduce existing positions. Open positions will be gradually and forcibly liquidated in the following weeks, and remaining positions will be automatically liquidated when the exchange closes.

Users must complete the withdrawal before the deadline.

BitMEX requires users to close their positions and withdraw their assets before the shutdown. Even after trading services cease, accounts can still be used to view balances, transaction history, and withdraw funds.

The company also stated that assets remaining on the platform will remain under account control, but after September 23, verified customers who continue to retain their balances will be charged a monthly fee equivalent to $50 or an annualized fee of 1%, whichever is higher.

A more thorough review process will be implemented before closure.

BitMEX warned users to be wary of phishing attacks using the shutdown announcement as a pretext and stated that there is no such "priority withdrawal" service. The company said that withdrawal reviews will be increased during the transition period, and Bitcoin network confirmation times may cause delays.

BitMEX also stated that its reserves exceed customer liabilities, citing its reserves and liabilities verification page for illustration. The company recalled that the platform, launched in 2014, had previously facilitated the adoption of 100x leveraged perpetual contracts as a common product in the industry.