Donald Trump Pardons Arthur Hayes and Two Other BitMEX Co-Founders

President Donald Trump has granted pardons to the three co-founders of the BitMEX cryptocurrency exchange. Trump signed the pardons on Thursday, though the action was not publicly announced.

Arthur Hayes, Benjamin Delo, and Samuel Reed, the co-founders, had pleaded guilty in 2022 to violating the Bank Secrecy Act. They faced charges for disregarding money laundering regulations and failing to oversee the operations of their exchange.

BitMEX’s Regulatory Violations and Legal Consequences

As outlined in court records, BitMEX is a cryptocurrency derivatives exchange that has catered to thousands of U.S. customers. From September 2015 to September 2020, the company was accused of running a platform that enabled money laundering.

Moreover, court documents reveal that BitMEX’s website promoted the idea of creating accounts without the need for detailed identity verification. In one email from August 2015, Reed emphasized that one of BitMEX’s selling points was its minimal know-your-customer (KYC) requirements, a key federal rule.

In January, BitMEX was fined $100 million for its failure to implement proper anti-money laundering and KYC programs. Federal prosecutors argued that such lapses undermine market integrity, emphasizing that firms in the digital economy must act as gatekeepers to ensure fairness and security. Former U.S. Attorney Damian Williams criticized BitMEX’s founders for allowing the platform to operate without basic anti-money laundering measures.

Delo and Hayes Respond to Trump’s Pardon

In a statement released Friday, Delo argued that the charges against them were politically motivated and pointed to inconsistencies in regulatory signals. He noted that the pardon cleared his name and allowed him to focus on his personal endeavors and charitable activities.

“A legal wrong has been righted today and despite the distress I have been through over the past few years I’m pleased to have cleared my name and to be able to continue my life and philanthropic work without the burden of an unfounded conviction,” he stated.

Delo further expressed his belief that the Justice Department had wrongly targeted BitMEX and its founders, calling Trump’s pardon a “vindication” of their position. Similarly, Hayes shared a message on social media thanking Trump for the clemency.