Weekly Roundup: BitMEX to Shut Down; BDSwiss’ Possible Exit
This week brought major shifts across crypto and retail
trading, with BitMEX preparing to leave the market just as perpetual swaps gain
broader acceptance. Regulatory developments also continued to reshape how
digital assets are traded, while exchanges and brokers responded to changing
investor demand and evolving market structure.
Elsewhere, retail trading activity remained historically
elevated despite easing from recent highs, several brokers reported record
performance, and new initiatives emerged across proprietary trading and
exchange infrastructure. Together, the week’s developments reflected an
industry balancing growth, regulation and structural change.
BitMEX announced it
will shut down its trading platform on 23 September, ending the exchange’s
11-year run after a strategic business review. New account registrations have
already stopped, while existing trading will gradually move into reduce-only
mode before positions are closed ahead of the final shutdown.
The exchange transformed
crypto derivatives by popularising perpetual swaps during the 2017-18 bull
market, offering traders highly leveraged products that became an industry
standard.
Its decline came after years of regulatory pressure, including US
penalties over anti-money laundering failures, as regulated US venues
increasingly introduced domestic perpetual products that challenged the
offshore model BitMEX helped establish.
Dear BitMEX Users,
Today, we share with a very heavy heart that BitMEX exchange will shut down its operations, effective 23 September 2026 at 04:00:00 UTC.
The owner and operator of BitMEX, HDR Global Trading Limited, has made the difficult decision to close operations… pic.twitter.com/oWuqlh547f
— BitMEX (@BitMEX) July 23, 2026
Perpetual Swaps Continue to Expand Beyond Their Creator
While BitMEX is disappearing, the perpetual swap is entering
a new stage of growth. The product has expanded beyond offshore
crypto exchanges into regulated US markets, decentralised trading venues
and, increasingly, traditional asset classes.
Its funding-rate mechanism,
liquidation engine and insurance fund helped create a continuously traded
leveraged instrument that attracted both retail traders and professional market
makers. Competitors broadened the model through stablecoin collateral,
integrated spot markets and wider product ranges, eventually overtaking BitMEX
in liquidity.
The next phase is expected to see perpetual contracts compete
more directly with traditional leveraged products as exchanges adopt
round-the-clock synthetic trading across a wider range of assets.
US Opens Defined Regulatory Routes for Crypto Perpetuals
BitMEX’s closure also highlighted how the US
regulatory landscape has changed since offshore exchanges first developed
crypto perpetuals. The Commodity Futures Trading Commission has withdrawn
earlier guidance, approved regulated bitcoin perpetual products and established
clearer frameworks for exchanges and intermediaries offering perpetual
contracts.
Regulated venues including Bitnomial and Kalshi now have defined
paths to list domestic products, while Coinbase Financial Markets can provide
access to certain foreign perpetuals under specified conditions.
Although
offshore exchanges continue to dominate global volumes, brokers and exchanges
now have identifiable regulatory routes into the US market, provided they meet
the operational, disclosure and risk-management requirements attached to
continuous trading.
BDSwiss Offshore Business Appears to Go Offline
BDSwiss appears to have shut
down its offshore retail business after its global website stopped functioning
and new account registrations were disabled. Visitors are now redirected to a
login page branded as BDS Markets, while attempts to create new accounts are
rejected.
A screenshot of new signup page on BDSwiss with the message “cannot create account”
Although the broker’s Seychelles licence remains listed as active,
Finance Magnates was unable to obtain clarification after its press contact
email bounced. The development follows the withdrawal of the group’s Cyprus
licence, a corporate rebranding and a significant staff exodus over recent years.
Meanwhile, customer complaints on Trustpilot have continued to highlight
withdrawal issues and disputed account transfers involving former BDSwiss
clients.
CFI Reports Record First-Half Trading Activity
Ziad Melhem, CEO at CFI Financial Group (Source: CFI)
CFI Financial Group posted its strongest first-half
performance on record, reporting
$5.34 trillion in trading volume during the first six months of 2026.
Second-quarter volume reached $3.03 trillion, more than doubling from a year
earlier, while active client numbers and executed trades also increased.
Metals
generated the highest trading activity, followed by equity indices, with mobile
platforms accounting for most client transactions. During the quarter, CFI also
expanded into additional markets, securing regulatory approval in Brazil,
extending its Latin American presence and introducing new products in the Gulf
region. The company said it now operates through 15 regulated entities
worldwide.
Two Brokers Cross the $2 Trillion Monthly Volume Mark
FM Intelligence’s second-quarter data showed EC
Markets and TMGM becoming the first brokers to exceed $2 trillion in average
monthly trading volume during the same quarter. EC Markets led the rankings
with an average monthly volume of $2.11 trillion, narrowly ahead of TMGM.
The
milestone reflected continued consolidation among the industry’s largest
brokers even as the broader market cooled from first-quarter records. FM
Intelligence also announced that its long-running quarterly PDF report will be
replaced by a continuously updated Data Lab service, providing rolling broker
rankings, trading volumes and market analysis instead of quarterly snapshots.
Retail Broker Volumes Ease After Record First Quarter
Retail FX and CFD trading volumes moderated during the
second quarter, according to FM Intelligence, falling
9.3% from the record levels reached in the previous quarter. Despite the
decline, activity remained broadly in line with the same period last year,
suggesting that trading demand has stayed historically strong.
Beneath the
headline figures, the broker rankings changed significantly as several firms
climbed rapidly over the past 12 months. The data also showed that many of the
largest brokers now generate most of their reported trading volume outside
traditional foreign exchange, with indices, commodities, equities and crypto
products accounting for the overwhelming majority of activity.
Former Citadel Executives Launch New CFD Venture
Kevin Kimmel, Co-Founder and CEO, Epic Markets, Source: LinkedIn
Former Citadel Securities executives Bryan Seegers and Kevin
Kimmel emerged with a
new brokerage venture after securing a $10 million pre-seed investment from
London-based venture capital firm Karatage. The startup, Epic Markets, plans to
build a multi-asset brokerage platform focused on institutional-grade execution
for retail traders.
Public details remain limited, although regulatory
disclosures on the company’s website indicate it intends to offer contracts for
difference. No regulatory licences have yet been announced.
Bryan Seegers, Co-Founder and CCO at Epic Markets
The unusually large
pre-seed funding round stands out both within the CFD industry and the wider
venture capital market, reflecting investor confidence in the founders’ market
structure and electronic trading experience.
London Stock Exchange Confirms Plans for Overnight
Trading
The London Stock Exchange confirmed plans to
launch a separate overnight trading venue during the first half of 2027,
initially focusing on exchange-traded products rather than individual shares.
The platform will operate outside the exchange’s normal market hours to serve
global investors seeking greater flexibility, particularly in Asia.
The move
reflects growing demand for extended trading as crypto platforms and several US
exchanges continue expanding round-the-clock market access. The exchange said
retail demand is currently driving the initiative, although it expects
institutional participation to increase over time as the market develops and
additional products become available.
Liquidity Questions Remain Over Extended Trading
Despite the launch plans, questions remain over whether
sufficient liquidity will exist outside traditional market hours. Critics argue
that offering exchange-traded products without the underlying shares may
complicate hedging for market makers and result in wider spreads during
overnight sessions.
Lower
trading activity could also increase volatility if large orders enter
relatively illiquid markets. Similar concerns have accompanied extended-hours
trading initiatives in the United States.
While exchanges see longer trading
hours as a way to meet changing investor expectations, particularly among retail
traders accustomed to crypto markets, the commercial success of continuous
equity trading will ultimately depend on sustained liquidity.
Vietnam Targets Retail Traders Using Offshore Crypto
Platforms
Vietnam will begin fining individuals who trade
digital assets through unlicensed exchanges from 1 September under a new
regulatory decree. Retail investors using unlicensed platforms could face
penalties of up to VND50 million, while higher fines apply to certain
restricted assets.
The measures mark a significant shift by placing enforcement
directly on end users rather than exchanges alone. The country also plans to
license only a limited number of domestic crypto platforms under strict capital
and ownership requirements. For exchanges and brokers, the rules increase the
importance of customer verification, geofencing and broader compliance when
serving Vietnamese clients.
MiCA Review Opens New Debate Over Prediction Markets
The European Commission’s review of the Markets in
Crypto-Assets Regulation entered
a new phase as Brussels formally sought feedback on whether crypto-based
prediction markets and perpetual futures should fall within MiCA or existing
financial markets legislation.
The consultation deadline has been extended
until 30 September, giving industry participants additional time to influence
future policy. The decision could determine whether prediction market operators
gain access to a crypto licensing regime or become subject to the stricter
rules governing traditional financial instruments.
With prediction markets
expanding rapidly worldwide, the consultation could shape their long-term
future across the European Union.
Financial Commission Introduces Certification for Prop
Firms
The Financial Commission launched a
voluntary certification programme designed specifically for prop trading firms,
creating an independent framework covering trading rules, payouts, risk
management and dispute resolution.
Firms that satisfy the required standards
following an external review will receive certification and ongoing monitoring,
while traders gain access to the organisation’s independent dispute resolution
process. The framework aims to introduce greater transparency and
accountability to the rapidly growing prop trading sector by establishing
common conduct standards and evidence-based assessments.
Industry participants
described the initiative as a step towards improving confidence in a market
that has historically lacked independent oversight.
This week brought major shifts across crypto and retail
trading, with BitMEX preparing to leave the market just as perpetual swaps gain
broader acceptance. Regulatory developments also continued to reshape how
digital assets are traded, while exchanges and brokers responded to changing
investor demand and evolving market structure.
Elsewhere, retail trading activity remained historically
elevated despite easing from recent highs, several brokers reported record
performance, and new initiatives emerged across proprietary trading and
exchange infrastructure. Together, the week’s developments reflected an
industry balancing growth, regulation and structural change.
BitMEX announced it
will shut down its trading platform on 23 September, ending the exchange’s
11-year run after a strategic business review. New account registrations have
already stopped, while existing trading will gradually move into reduce-only
mode before positions are closed ahead of the final shutdown.
The exchange transformed
crypto derivatives by popularising perpetual swaps during the 2017-18 bull
market, offering traders highly leveraged products that became an industry
standard.
Its decline came after years of regulatory pressure, including US
penalties over anti-money laundering failures, as regulated US venues
increasingly introduced domestic perpetual products that challenged the
offshore model BitMEX helped establish.
Dear BitMEX Users,
Today, we share with a very heavy heart that BitMEX exchange will shut down its operations, effective 23 September 2026 at 04:00:00 UTC.
The owner and operator of BitMEX, HDR Global Trading Limited, has made the difficult decision to close operations… pic.twitter.com/oWuqlh547f
— BitMEX (@BitMEX) July 23, 2026
Perpetual Swaps Continue to Expand Beyond Their Creator
While BitMEX is disappearing, the perpetual swap is entering
a new stage of growth. The product has expanded beyond offshore
crypto exchanges into regulated US markets, decentralised trading venues
and, increasingly, traditional asset classes.
Its funding-rate mechanism,
liquidation engine and insurance fund helped create a continuously traded
leveraged instrument that attracted both retail traders and professional market
makers. Competitors broadened the model through stablecoin collateral,
integrated spot markets and wider product ranges, eventually overtaking BitMEX
in liquidity.
The next phase is expected to see perpetual contracts compete
more directly with traditional leveraged products as exchanges adopt
round-the-clock synthetic trading across a wider range of assets.
US Opens Defined Regulatory Routes for Crypto Perpetuals
BitMEX’s closure also highlighted how the US
regulatory landscape has changed since offshore exchanges first developed
crypto perpetuals. The Commodity Futures Trading Commission has withdrawn
earlier guidance, approved regulated bitcoin perpetual products and established
clearer frameworks for exchanges and intermediaries offering perpetual
contracts.
Regulated venues including Bitnomial and Kalshi now have defined
paths to list domestic products, while Coinbase Financial Markets can provide
access to certain foreign perpetuals under specified conditions.
Although
offshore exchanges continue to dominate global volumes, brokers and exchanges
now have identifiable regulatory routes into the US market, provided they meet
the operational, disclosure and risk-management requirements attached to
continuous trading.
BDSwiss Offshore Business Appears to Go Offline
BDSwiss appears to have shut
down its offshore retail business after its global website stopped functioning
and new account registrations were disabled. Visitors are now redirected to a
login page branded as BDS Markets, while attempts to create new accounts are
rejected.
A screenshot of new signup page on BDSwiss with the message “cannot create account”
Although the broker’s Seychelles licence remains listed as active,
Finance Magnates was unable to obtain clarification after its press contact
email bounced. The development follows the withdrawal of the group’s Cyprus
licence, a corporate rebranding and a significant staff exodus over recent years.
Meanwhile, customer complaints on Trustpilot have continued to highlight
withdrawal issues and disputed account transfers involving former BDSwiss
clients.
CFI Reports Record First-Half Trading Activity
Ziad Melhem, CEO at CFI Financial Group (Source: CFI)
CFI Financial Group posted its strongest first-half
performance on record, reporting
$5.34 trillion in trading volume during the first six months of 2026.
Second-quarter volume reached $3.03 trillion, more than doubling from a year
earlier, while active client numbers and executed trades also increased.
Metals
generated the highest trading activity, followed by equity indices, with mobile
platforms accounting for most client transactions. During the quarter, CFI also
expanded into additional markets, securing regulatory approval in Brazil,
extending its Latin American presence and introducing new products in the Gulf
region. The company said it now operates through 15 regulated entities
worldwide.
Two Brokers Cross the $2 Trillion Monthly Volume Mark
FM Intelligence’s second-quarter data showed EC
Markets and TMGM becoming the first brokers to exceed $2 trillion in average
monthly trading volume during the same quarter. EC Markets led the rankings
with an average monthly volume of $2.11 trillion, narrowly ahead of TMGM.
The
milestone reflected continued consolidation among the industry’s largest
brokers even as the broader market cooled from first-quarter records. FM
Intelligence also announced that its long-running quarterly PDF report will be
replaced by a continuously updated Data Lab service, providing rolling broker
rankings, trading volumes and market analysis instead of quarterly snapshots.
Retail Broker Volumes Ease After Record First Quarter
Retail FX and CFD trading volumes moderated during the
second quarter, according to FM Intelligence, falling
9.3% from the record levels reached in the previous quarter. Despite the
decline, activity remained broadly in line with the same period last year,
suggesting that trading demand has stayed historically strong.
Beneath the
headline figures, the broker rankings changed significantly as several firms
climbed rapidly over the past 12 months. The data also showed that many of the
largest brokers now generate most of their reported trading volume outside
traditional foreign exchange, with indices, commodities, equities and crypto
products accounting for the overwhelming majority of activity.
Former Citadel Executives Launch New CFD Venture
Kevin Kimmel, Co-Founder and CEO, Epic Markets, Source: LinkedIn
Former Citadel Securities executives Bryan Seegers and Kevin
Kimmel emerged with a
new brokerage venture after securing a $10 million pre-seed investment from
London-based venture capital firm Karatage. The startup, Epic Markets, plans to
build a multi-asset brokerage platform focused on institutional-grade execution
for retail traders.
Public details remain limited, although regulatory
disclosures on the company’s website indicate it intends to offer contracts for
difference. No regulatory licences have yet been announced.
Bryan Seegers, Co-Founder and CCO at Epic Markets
The unusually large
pre-seed funding round stands out both within the CFD industry and the wider
venture capital market, reflecting investor confidence in the founders’ market
structure and electronic trading experience.
London Stock Exchange Confirms Plans for Overnight
Trading
The London Stock Exchange confirmed plans to
launch a separate overnight trading venue during the first half of 2027,
initially focusing on exchange-traded products rather than individual shares.
The platform will operate outside the exchange’s normal market hours to serve
global investors seeking greater flexibility, particularly in Asia.
The move
reflects growing demand for extended trading as crypto platforms and several US
exchanges continue expanding round-the-clock market access. The exchange said
retail demand is currently driving the initiative, although it expects
institutional participation to increase over time as the market develops and
additional products become available.
Liquidity Questions Remain Over Extended Trading
Despite the launch plans, questions remain over whether
sufficient liquidity will exist outside traditional market hours. Critics argue
that offering exchange-traded products without the underlying shares may
complicate hedging for market makers and result in wider spreads during
overnight sessions.
Lower
trading activity could also increase volatility if large orders enter
relatively illiquid markets. Similar concerns have accompanied extended-hours
trading initiatives in the United States.
While exchanges see longer trading
hours as a way to meet changing investor expectations, particularly among retail
traders accustomed to crypto markets, the commercial success of continuous
equity trading will ultimately depend on sustained liquidity.
Vietnam Targets Retail Traders Using Offshore Crypto
Platforms
Vietnam will begin fining individuals who trade
digital assets through unlicensed exchanges from 1 September under a new
regulatory decree. Retail investors using unlicensed platforms could face
penalties of up to VND50 million, while higher fines apply to certain
restricted assets.
The measures mark a significant shift by placing enforcement
directly on end users rather than exchanges alone. The country also plans to
license only a limited number of domestic crypto platforms under strict capital
and ownership requirements. For exchanges and brokers, the rules increase the
importance of customer verification, geofencing and broader compliance when
serving Vietnamese clients.
MiCA Review Opens New Debate Over Prediction Markets
The European Commission’s review of the Markets in
Crypto-Assets Regulation entered
a new phase as Brussels formally sought feedback on whether crypto-based
prediction markets and perpetual futures should fall within MiCA or existing
financial markets legislation.
The consultation deadline has been extended
until 30 September, giving industry participants additional time to influence
future policy. The decision could determine whether prediction market operators
gain access to a crypto licensing regime or become subject to the stricter
rules governing traditional financial instruments.
With prediction markets
expanding rapidly worldwide, the consultation could shape their long-term
future across the European Union.
Financial Commission Introduces Certification for Prop
Firms
The Financial Commission launched a
voluntary certification programme designed specifically for prop trading firms,
creating an independent framework covering trading rules, payouts, risk
management and dispute resolution.
Firms that satisfy the required standards
following an external review will receive certification and ongoing monitoring,
while traders gain access to the organisation’s independent dispute resolution
process. The framework aims to introduce greater transparency and
accountability to the rapidly growing prop trading sector by establishing
common conduct standards and evidence-based assessments.
Industry participants
described the initiative as a step towards improving confidence in a market
that has historically lacked independent oversight.
