BitMEX co-founder Benjamin Delo was convicted to 30 months of probation without home confinement for violating the Bank Secrecy Act (BSA).
Benjamin Delo was sentenced to 30 months of probation
Delo, together with BitMEX founder Arthur Hayes, pled guilty earlier this year to accusations of violating the Bank Secrecy Act in a case dating back to 2020. Delo also agreed to pay a $10 million fine in a February settlement with the U.S. Department of Justice (DOJ) and the Commodity Futures Trading Commission (CFTC).
At today’s hearing, Judge John G. Koeltl sentenced Delo to 30 months probation without home confinement. As a result of the sentencing, Delo’s regulatory concerns with BitMEX have been resolved.
The prosecution sought a harsher sentence
The Department of Justice, along with the CFTC and FinCEN, announced that BitMEX and its founders had violated both civil and criminal statutes by allowing U.S. residents to trade crypto derivatives on the exchange even though it was not registered in the country and had poor know-your-customer practices.
The prosecution sought harsher sentences than what was given in both cases. Still, Delo and Hayes were able to avoid prison time because the judge ultimately refused to agree, declining to include jail time in the sentence and, in the case of Delo, also declining to include home detention, which the prosecution had requested.