Arthur Hayes Sentenced to Two Years Probation, Six Months House Arrest

Arthur Hayes Sentenced to Two Years Probation, Six Months House Arrest

Key Takeaways

Table of Contents

• BitMEX co-founder Arthur Hayes has been sentenced to two years’ probation and 6 months of home detention by a federal court docket in New York.
• Hayes pled responsible in February for violating the U.S. Bank Secrecy Act.
• In step with Hayes’ plea deal, the sentence will maintain carried as much as 12 months in detention middle, with prosecutors in search of overtime closing week.

Arthur Hayes has been sentenced to two years of probation plus six months of home confinement for violating the U.S. Bank Secrecy Act.

Hayes Sentenced

A U.S. court docket in New York has sentenced BitMEX co-founder Arthur Hayes for violating the U.S. Bank Secrecy Act by failing to conform with anti-cash laundering protocols.

Hayes, who pled responsible in February, will relieve of two years of probation and 6 months of home detention. Hayes’ co-founders, Benjamin Delo and Samuel Reed, who pled responsible alongside Hayes in February, are the procedure to be sentenced in June.

The BitMEX executives were accused of offering to procure and sell services and products to the U.S. and world clients without watching the required anti-cash laundering and Know-Your-Buyer procedures. As such, they stood accused of facilitating cash laundering.

The deem in the case, Specialize in John Koeltl, said for the duration of Hayes’ sentencing that his actions weren’t a topic of mere oversight, nonetheless somewhat that Hayes understood the implications of failing to conform with anti-cash laundering procedures:

“He knew these procedures were required to lead far from having his firm worn for cash laundering and diversified unlawful capabilities… the crime changed into as soon as extra than a straightforward regulatory oversight.”

Hayes’ attorneys asked for no jail time, while prosecutors in the case sought extra than twelve months. Prosecutors in the case said that complete compliance for the duration of the crypto would perchance perhaps well be unsuccessful if founders and executives “imagine there don’t seem like any meaningful repercussions for failing to conform with the law.”

BitMEX changed as soon as first and distinguished accused of failing to place into effect anti-cash-laundering (AML) packages closing twelve months. In August, its mum or dad firm changed into as soon as fined $100 million in penalties as a segment of a settlement with the CFTC and FinCEN. Hayes, Delo, and Reed maintain each and every personally been fined $10 million.