Bitcoin Magazine

Crypto Derivatives Exchange BitMEX To Shut Down in September

Crypto exchange BitMEX will close down in September, according to a Thursday announcement on the company’s website. 

The exchange said that after “a strategic review of the business and the broader crypto industry, the board of HDR Global Trading Limited, owner and operator of BitMEX, has decided to close the exchange.” 

BitMEX did not give further information on why the exchange was closing but told users to withdraw their funds “as soon as practical.” 

“The BitMEX platform has always remained grounded to the true ethos of Bitcoin — neutrality, transparency, and decentralisation, which is evident through our peer-to-peer operations and a top priority focus on user fund safety,” the statement read. 

“While this news is a difficult one to share, we are proud of everything that has been built at the company since its launch as a pioneer of crypto derivatives.”

BitMEX added that users will be able to access services as normal until September 23. After that date, the exchange will only hold client assets until they are withdrawn. 

It continued that it had unstaked all staked BMEX Tokens on the platform, and they are now available in users’ accounts.

Run-ins with the law

Run by eccentric crypto entrepreneur Arthur Hayes, BitMEX has had its fair share of run-ins with the law. 

Regulators first stated that BitMEX had allowed U.S. clients to use its exchange without verifying their identities.

The company in 2021 paid $100 million in civil penalties after the U.S. Financial Crimes Enforcement Network alleged that the exchange’s senior leadership “altered U.S. customer information to hide the customer’s true location.”

BitMEX founders Hayes, Benjamin Delo, and Samuel Reed pled guilty in 2022 to violations of the Bank Secrecy Act for failing to operate an anti-money laundering program at the cryptocurrency exchange. Each founder then agreed to pay a $10 million fine to settle the charges. 

Then, last year, BitMEX was hit with a further $100 million fine for its guilty plea for breach of the United States Bank Secrecy Act. 

But following the election of crypto-friendly President Donald Trump, all three founders were pardoned in 2025.

This post Crypto Derivatives Exchange BitMEX To Shut Down in September first appeared on Bitcoin Magazine and is written by Mathew Di Salvo.

Bitcoin Magazine

UK Adopts ‘No Gain, No Loss’ Tax Treatment for Crypto Lending and Liquidity Pools

The United Kingdom’s HM Revenue & Customs will treat certain disposals involving cryptoasset loans and liquidity pools as “no gain, no loss,” deferring Capital Gains Tax until a user makes an economic disposal of the underlying cryptocurrency.

The measure, published Monday, takes effect 6 April 2027 and applies to individuals and trustees who enter cryptoasset loan and liquidity pool arrangements, according to the policy paper. 

It amends the Taxation of Chargeable Gains Act 1992.

The rules cover three scenarios. In a single cryptoasset lending arrangement, a user who acquires or disposes of an interest in exchange for cryptoassets of the same type as those invested will be taxed on a no-gain-no-loss basis. 

Borrowing arrangements will treat borrowed cryptoassets as acquired at market value at the time of borrowing, with any collateral disregarded for Capital Gains Tax purposes.

For automated market-making arrangements — liquidity pools operated through smart contracts — a user acquiring an interest in exchange for the same type of cryptoasset is also taxed on a no-gain-no-loss basis. On exit, that treatment holds to the extent the user receives the same quantity first invested. Any difference between what was invested and what is received triggers a gain or a loss.

HMRC said the change aligns tax treatment with the economics of these arrangements, recognizing gains and losses only when a participant makes an economic disposal.

HMRC simplifies DeFi crypto tax rules

The measure addresses problems that arose from HMRC’s own 2022 guidance, which stakeholders said produced disproportionate administrative burdens. 

A call for evidence ran from July to August 2022, followed by a consultation between 27 April and 22 June 2023 that sought to align tax with economic substance by not treating crypto used in DeFi lending and liquidity pools as a taxable disposal. 

HMRC published a summary of responses at Budget 2025 and set out its approach at that time.

The change is expected to affect about 700,000 individuals who engage in these transactions, according to the paper. HMRC said users will benefit from a framework that is easier to understand.

The current UK regime treats crypto as an investment asset, with selling, swapping, or spending it counting as a disposal for Capital Gains Tax at 18% for basic-rate taxpayers and 24% for higher-rate taxpayers. The new treatment modifies that disposal rule for certain lending and liquidity pool arrangements.

Final costing will be subject to scrutiny by the Office for Budget Responsibility and set out at a future fiscal event. HMRC said the measure is not expected to have any significant macroeconomic impact.

This post UK Adopts ‘No Gain, No Loss’ Tax Treatment for Crypto Lending and Liquidity Pools first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Bitcoin Magazine

SpaceX Nasdaq-100 Entry Brings Bitcoin Exposure to Passive Index Investors

Today (July 7, 2026) SpaceX formally joins the Nasdaq-100 Index. The inclusion comes just weeks after the company’s public debut and follows its disclosure of 18,712 BTC on the balance sheet. JPMorgan estimates that index rebalancing will drive approximately $4.3 billion in passive inflows from Nasdaq-100-tracking funds and ETFs.

This development is more than headline news. It creates a structural, rules-based channel for institutional capital to gain exposure to Bitcoin through a corporate treasury vehicle, without requiring active allocation decisions, new mandates, or direct cryptocurrency purchases.

For corporate treasury teams, capital allocators, and institutional investors evaluating Bitcoin on balance sheets, the move provides a clear data point on how the strategy can intersect with mainstream equity infrastructure.

The Mechanics of Structural Demand

Passive index funds and ETFs must hold securities in proportion to their index weighting. When a new component is added, these vehicles buy shares mechanically. In SpaceX’s case, the estimated $4.3 billion in inflows represents capital that will flow into the stock regardless of short-term views on Bitcoin or the broader crypto market.

SpaceX’s Bitcoin holdings, disclosed in regulatory filings at approximately $1.2 billion in fair value, now sit within one of the most widely held equity indices globally. This is distinct from direct Bitcoin ETF flows or voluntary corporate purchases. It is demand generated by index rules rather than discretionary conviction.

Combined with Tesla and Strategy, the Nasdaq-100 now contains three companies with material Bitcoin treasuries. While SpaceX’s initial weighting will be modest, the precedent matters: high-growth, high-visibility companies can bring Bitcoin exposure into institutional equity portfolios through existing governance and allocation frameworks.

Strategic Implications for Treasury and Allocation Decisions

Corporate Bitcoin strategies have historically been evaluated on two primary dimensions: balance sheet optionality and long-term value preservation. SpaceX’s inclusion introduces a third dimension, potential for structural equity demand tied to index membership.

For treasury operators, this suggests that Bitcoin holdings, when paired with strong underlying business fundamentals, can contribute to broader market visibility and liquidity. Index inclusion often correlates with increased analyst coverage, improved trading volumes, and easier access to capital markets.

For institutional allocators, the development offers a form of Bitcoin beta that fits within traditional equity sleeves. Many large investors already maintain significant Nasdaq-100 exposure through passive mandates. SpaceX’s addition layers incremental Bitcoin exposure into those portfolios without requiring changes to investment policy statements or new product approvals.

This aligns with patterns observed across the corporate treasury landscape. Public companies now collectively hold more than 1.26 million BTC. The strategy is expanding beyond dedicated Bitcoin-focused entities into diversified operating businesses. SpaceX’s move illustrates how the approach can scale into the core of institutional equity markets.

Hypothetical Case Study: Modeling Indirect Bitcoin Demand

To illustrate the mechanism, consider a simplified hypothetical involving a public company that adopts a Bitcoin treasury strategy and later gains meaningful index attention.

Assumptions (illustrative only):

• Company market capitalization: $12 billion
• Bitcoin holdings: 8,000 BTC at $63,000 per BTC = $504 million
• Bitcoin as a percentage of market cap: ~4.2%
• The company is added to a major equity index, triggering $800 million in passive inflows over time (scaled-down version of larger index events for clarity)

Step-by-step impact:

1. Passive funds purchase $800 million of the company’s stock to match index weighting.
2. Because Bitcoin represents 4.2% of the company’s enterprise value in this example, roughly $33.6 million of the passive inflows can be viewed as indirectly supporting the Bitcoin portion of the balance sheet ($800M × 4.2%).
3. At current prices, this equates to approximately 533 BTC of effective demand created through equity market mechanics rather than direct cryptocurrency purchases.
4. If the company’s Bitcoin holdings generate ongoing yield or optionality (through lending, collateralization, or strategic use), the passive capital provides a form of “free” liquidity support to the treasury strategy.

While the numbers are simplified and depend on actual market cap, weighting, and Bitcoin valuation at the time of inclusion, the directional point is clear: index membership can create sustained, non-discretionary buying interest that benefits the Bitcoin component of the balance sheet proportionally.

Treasury teams evaluating this path should model similar scenarios using their own projected holdings, target market capitalization, and relevant index weighting assumptions. The exercise highlights how Bitcoin treasury decisions can interact with traditional equity market dynamics in ways that pure cryptocurrency allocations do not.

Looking Ahead

SpaceX’s Nasdaq-100 entry is one data point in a broader evolution. Corporate Bitcoin adoption is moving from early experimentation toward integration with established financial infrastructure. Passive flows, index rules, custody solutions, and regulatory clarity are all contributing to this shift.

For organizations actively building or evaluating Bitcoin treasury capabilities, developments like this reinforce the importance of treating Bitcoin as a strategic balance sheet asset with multiple potential transmission channels into institutional capital markets.Key questions for treasury and allocation teams to consider:

• How would index inclusion (or the potential for it) factor into your company’s capital allocation framework?
• What disclosure and governance standards are becoming necessary as Bitcoin treasuries intersect with passive equity vehicles?
• For allocators: Does exposure through high-quality corporate treasuries warrant a distinct analytical lens alongside direct Bitcoin or ETF holdings?

The corporate Bitcoin strategy continues to mature. Events that embed Bitcoin exposure within widely tracked equity indices represent one of the more durable forms of institutional adoption currently unfolding.

Disclaimer: This content was prepared on behalf of Bitcoin For Corporations for informational purposes only. It reflects the author’s own analysis and opinion and should not be relied upon as investment advice. Nothing in this article constitutes an offer, invitation, or solicitation to purchase, sell, or subscribe for any security or financial product.

This post SpaceX Nasdaq-100 Entry Brings Bitcoin Exposure to Passive Index Investors first appeared on Bitcoin Magazine and is written by Nick Ward.

Bitcoin Magazine

Standard Chartered and LMAX Group Execute First Live Digital Asset Prime Brokerage Trades

Standard Chartered has executed its first digital asset prime brokerage trades with LMAX Group, a milestone in the build-out of institutional market infrastructure for crypto. 

With this move, the bank became one of the first Global Systemically Important Banks (G-SIBs) to test a prime brokerage model for digital assets inside established risk, compliance and market frameworks.

The pilot covered spot Bitcoin (XBT/USD) with T+1 settlement through Standard Chartered’s UK branch. These were the bank’s first digital asset credit intermediation trades under a prime brokerage structure. 

The transactions ran on LMAX Digital, LMAX Group’s regulated institutional venue, with Standard Chartered Prime Brokerage acting as the credit intermediary between counterparties. Settlement completed through the bank’s digital asset custody platform in the Dubai International Financial Centre (DIFC).

Prime brokerage has underpinned equities and foreign exchange for decades, giving institutions a single counterparty for credit, execution and settlement. Crypto has lacked that layer. As capital shifts away from direct exchange access, the gap has widened: in 2025, flows through prime brokers and OTC desks grew at more than 10 times the rate of flows into exchanges.

A digital asset prime brokerage at scale needs a counterparty with the governance, risk discipline and credit capacity to stand behind institutional trades. Most global banks have partnered with crypto-native firms or stayed on the sidelines. 

Standard Chartered said their approach differs: the bank is stepping in as credit intermediary on its own balance sheet, with LMAX Group supplying the regulated execution infrastructure beneath it. 

In short, a bank is bringing its own balance sheet to digital assets rather than renting someone else’s.

What the Standard Chartered pilot validated

The transactions confirmed core controls across credit, margin, risk management, trade booking, settlement and reporting, and showed the model operating inside existing regulatory frameworks. 

The test brought together LMAX Group’s execution and matching technology with the bank’s client connectivity, electronic messaging, trade matching and an early validation of netting approaches. It offered a view into how traditional and digital asset infrastructure can operate as one workflow.

The two firms describe the pilot as a step toward a roadmap for scalable, institutional-grade market infrastructure. 

It builds on the digital asset trading capability Standard Chartered launched in 2025.

“This pilot is part of our broader strategy to build a comprehensive institutional-grade digital asset platform, spanning custody, trading and prime brokerage,” said Alison Higgins, Head of Prime Services at Standard Chartered. “As demand accelerates, we are helping our Prime Brokerage clients capture new opportunities backed by the risk management, controls and balance sheet strength they expect from a G-SIB.”

David Mercer, CEO of LMAX Group, framed the trade as a fix for a structural gap. “The lack of credit counterparties with robust balance sheets on the scale that we see in traditional finance has been a critical missing mechanism in the digital asset market to date,” he said. “This is a great example of the impending convergence of TradFi and digital assets to a cross-asset capital markets future.”

This post Standard Chartered and LMAX Group Execute First Live Digital Asset Prime Brokerage Trades first appeared on Bitcoin Magazine and is written by Micah Zimmerman.