On behalf of investors who suffered losses, Burns Charest is advancing a lawsuit seeking to hold one of the world’s formerly largest cryptocurrency exchanges accountable for fraudulent conduct. The lawsuit, filed in New York federal court, is being handled by Burns Charest attorneys Daniel H. Charest, Ryan Gaddis, Adrienne Allen and Ariana Noshari.

According to the allegations, BitMEX—which has announced it will suspend all operations in September 2026—traded against its own customers using private account data to profit from client losses by using a system deliberately designed to create unfavorable conditions for customers and then liquidating their accounts when they lost a certain amount of value. By seizing the collateral when unrealized losses were half of the amount of the investor-customer’s posted collateral, BitMEX captured collateral that was still worth approximately twice the losses incurred on the contract. The lawsuit seeks to recover Bitcoin and Ethereum in kind.

The lawsuit proposes a class which would include those who purchased any bitcoin or Ethereum swap products on BitMEX in U.S. transactions after February 28, 2016. But any affected individuals should feel free to inquire regarding the case.

Additional details on the filing can be found at Law360.