Justice Department Spares Crypto Exchange Co-Founders from Prosecution

Trump Pardon of BitMEX Crypto Exchange Under Investigation for Money Laundering

Washington D.C. - The Department of Justice is investigating whether former President Donald Trump's pardon of the cryptocurrency exchange BitMEX was tied to a scheme to launder money, according to sources familiar with the matter.

The investigation centers on a $5 million fine paid by BitMEX's parent company, HDR Global Trading, in connection with the company's alleged failure to prevent money laundering and other financial crimes. The fine was part of a settlement with the Commodity Futures Trading Commission (CFTC) in December 2020.

Sources say that investigators are looking into whether Trump's pardon of BitMEX's founder, Arthur Hayes, in February 2021 was influenced by the company's payment of the fine. Hayes was pardoned for his role in a 2020 scheme to manipulate the price of Bitcoin, which allegedly generated millions of dollars in profits.

The investigation is still in its early stages, and it is unclear whether any wrongdoing has occurred. However, the inquiry has raised concerns about the potential for political influence in the pardon process.

A spokesperson for the Department of Justice declined to comment on the investigation, citing the ongoing nature of the inquiry. A representative for BitMEX also declined to comment.

The investigation has sparked outrage among critics of Trump's pardon of Hayes, who argue that the former President's action may have been motivated by a desire to reward a generous donor. Hayes was a major supporter of Trump's 2020 re-election campaign and had donated thousands of dollars to the President's campaign.

The controversy has also raised questions about the potential for cryptocurrency exchanges to influence the pardon process through large donations. The investigation is ongoing, and it is unclear what findings will be made or what actions will be taken as a result.